Layoff: AI company’s layoff action as soon as billions of funding is received, so many employees will be laid off
Artificial Intelligence is the most talked about topic of the last one year. Amidst the development of AI, the biggest debate is on what effect it will have on the job market in the future. Amidst all this, now an AI company is gaining discussion. Here too, job is at the center of discussion, but the reason for discussion is completely different.
This is the case of generative AI startup company Cohere. It is being said in the news that the AI startup company is going to do layoffs. The company has informed the affected employees about this. It is interesting that the startup company has started preparations for layoffs at a time when just a day before it had succeeded in raising huge funds.
This much fund was received a day ago
According to a report by Fortune, startup Cohere raised $500 million in a new funding round on Tuesday this week and is now going for layoffs. A day ago the company was in the news for raising new capital and new high level of valuation. In the latest funding round, the value of the company is estimated at $ 5.5 billion. A day after that, the company is in discussion about layoffs.
Impact on 5 percent workforce
According to the report, the company is laying off about 20 of its employees. The company currently has a total workforce of 400 employees. That means the company is going to lay off about 5 percent of the employees from its workforce. The company’s CEO Aidan Gomez has written a letter to the employees informing them about possible layoffs.
CEO told this reason for layoff
Gomez says that to stay ahead and highly competitive in the industry, it is important to ensure that the right people are in the right places. To ensure this, the company is making layoffs. He also assured that his AI startup company will continue to hire people rapidly in future also. The company’s focus will be on filling vacant positions and bringing in new people in strategic areas selected for growth.
