AM I NEXT? NO LOVE AT MATCH GROUP

Dallas, Texas-based Match Group, an American internet and technology company that owns and operates a portfolio of popular online dating services, including Tinder, Match.com, Meetic, OkCupid, Hinge, Plenty of Fish, and other dating global brands, has announced plans to discontinue live-streaming services on its dating apps, and a 6% reduction in its workforce at the urging of activist investors, including Elliott Investment Management, Anson Funds Management and Starboard Value.

The reduction in force will impact approximately 138 employees.

According to a company statement, "We’re constantly optimizing our strategy and investment decisions to ensure they align with evolving user needs and preferences. As part of that approach, we’ve made the decision to exit live streaming services in our dating apps including Plenty of Fish®, and to sunset

Hyperconnect’s Hakuna app provides live streaming services primarily in Korea and Japan. These businesses lack scale in a competitive market and require substantial further investment, and we expect they will deliver margins below the Company’s desired level.

While this decision will result in the loss of approximately $60 million of annual Total Revenue, we’re confident it will be margin and growth-enhancing to the Company over the medium term and will allow us to focus on our businesses where we have proven advantages. We expect that exiting these live-streaming services, along with other ongoing initiatives across the portfolio, will result in total workforce reductions of approximately 6% globally, which we expect to result in annual cost savings of approximately $13 million in addition to our previously disclosed expected cost savings from platform consolidation."

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. While many employees can read the writing on the wall; why do most assume it’s targeted at someone else? Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT DISCORD

San Francisco, California-based Discord, an instant messaging and VoIP social platform, has announced a personnel realignment that will result in a 17% reduction in the workforce.

The reduction in force will impact 170 employees.

According to CEO Jason Citron...

"Today we are making the unfortunate and difficult decision to reduce the size of Discord’s workforce by 17%. This means we are saying goodbye to 170 of our talented colleagues. This is a decision we did not take lightly, but it is one that we have conviction in to better serve our users, our business and our mission over the long term.

Where we are and how we got here

Our company has changed and grown significantly over the past few years. We should all be really proud of what we’ve been able to accomplish together to serve the millions of people who turn to Discord every day to spend time with their friends.

At the same time, we have to face some hard truths. We grew quickly and expanded our workforce even faster, increasing by 5x since 2020. As a result, we took on more projects and became less efficient in how we operated.

Today, we are increasingly clear on the need to sharpen our focus and improve the way we work together to bring more agility to our organization. This is what largely drove the decision to reduce the size of our workforce. While difficult, I am confident this will put us in the best position to continue building a strong and profitable business that delivers amazing products for our users and supports our mission for years to come.

I’ll end by sharing deep appreciation and gratitude for those leaving us. Discord is better because of your contributions and the passion you brought to delivering for our users, our company, and each other. Thank you for everything.

It’s incredibly difficult to say goodbye to respected peers, many of whom have become friends. I’m hopeful that working on and with our product has reinforced that these bonds can be sustained and even strengthened beyond the “walls” of any one place.

Take care of yourselves and let’s look out for each other through this particularly challenging time.

Jason

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT NEXTDOOR (05/13/24)

MAY 13, 2024 — 25% REDUCTION IN FORCE

As part of a continuing cost reduction initiative, the company is targeting 25% of the company’s workforce for layoff.

Nextdoor CEO Sarah Friar noted, “This reduction in our team is the hardest decision we have had to make at Nextdoor. While our opportunity and belief in the transformative power of community remains unwavering, and our business is financially strong with a healthy balance sheet, we must follow through on our commitment to our shareholders. This means right-sizing our business and aligning our team and other expenses with our near-term revenue expectations. We expect that these actions will position us to reach quarterly free cash flow breakeven by the end of 2025.”

NOVEMBER 28, 2023 — Original post

San Francisco, California-based Nextdoor, a hyperlocal social networking service for neighborhoods, has announced a major cost reduction initiative that will result in management changes and a reduction in the workforce.

The reduction will impact 200 employees or 25% of the company's workforce.

According to CEO Sarah Friar, “This reduction in our team is the hardest decision we have had to make at Nextdoor. While our opportunity and belief in the transformative power of community remains unwavering, and our business is financially strong with a healthy balance sheet, we must follow through on our commitment to our shareholders. This means right-sizing our business and aligning our team and other expenses with our near-term revenue expectations.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?