Dropbox CEO Drew Houston speaks onstage all around the Dropbox Work In Growth Convention at Pier 48 on September 25, 2019 in San Francisco
Matt Winkelmeyer | Dropbox | Getty Photos
Dropbox on Thursday launched plans to lop 500 workers, or about 16% of its physique of workers, per a weblog post on the corporate’s net sites.
Dropbox CEO Drew Houston wrote within the weblog post that the corporate has been reckoning with slowing growth, in part resulting from a maturation of its alternate, but also as a results of enterprise headwinds that are pressuring its customers.
Houston said that the corporate also might perhaps be dealing with an urgency to focal level more on synthetic intelligence-powered products, and doing so would require hiring workers with varied talent items.
“In an very ultimate world, we would simply shift other folks from one crew to 1 other,” Houston wrote. “And we’ve got finished that wherever imaginable. On the bogus hand, our next stage of growth requires a varied mixture of talent items, in particular in AI and early-stage product pattern. Now we had been bringing in big talent in these areas over the closing couple years and we will need scheme more.”
Impacted workers will receive free job placement services and products and profession coaching, per the weblog post, alongside with up to 16 weeks of severance pay and one additional week per one year of Dropbox tenure.
The layoffs are part of a broader company consolidation, Houston wrote, because the corporate merges its Core and Doc Workflows corporations and one other interior crew restructuring. Dropbox plans to host interior metropolis halls the next day and next week to acknowledge to employee questions.
“These transitions are by no formulation easy, but I’m obvious to attach optimistic that Dropbox is at the forefront of the AI know-how, lawful as we had been at the forefront of the shift to mobile and the cloud,” Houston wrote.
