Virtual Events Platform Hopin last rated at valuation $7.75 billion, fired 29% of employees, or 242 people, a spokesperson for TechCrunch confirmed via email. The cuts come just four months after Hopin laid off 12% of its workforce. sustainable growth goal against the backdrop of a changing market.
In the company’s latest downsizing, Hoping said the affected employees were primarily supportive of its business activities. Assuming most of the people at the company work to support its events business, it’s not clear exactly which teams have been cut. Hopin said it is investing in and expanding Hopin’s product portfolio, including in-person event management, hybrid events, video hosting, and “new products currently in development.”
Top managers are also being fired due to layoffs, but Hoping did not share details. In addition to laying off almost a third of the company, Hoping confirmed that some contractors and outside team members had been laid off, but did not give exact numbers.
“We have made a very difficult decision to reduce our workforce given the current macroeconomic environment and the need to effectively develop our event product,” a spokesperson said via email. A spokesman said the company had taken preventive measures ahead of the layoffs, including suspending hiring and cutting marketing spending. “There was a need to simplify our event business and support operations in order to build a profitable and sustainable company.”
Hopin’s 2022 is drastically different from 2021, when the company acquired five startups, including a $250 million purchase of StreamYard. The venture capital-backed startup has raised up to $1 billion in high-profile venture capital in two years from top investors including Tiger Global, Andreessen Horowitz, General Catalyst, Accel, Slack Fund, Coatue, Salesforce Ventures and more, according to Crunchbase.
Despite the ongoing spread of the pandemic around the world, partial normality has resumed, including the return of personal work and events. Thus, Hopin, which was created to meet the growing demand for remote events and virtual collaboration, is facing the need to develop further than just a tool to fight the pandemic. As well as
Two rounds of layoffs in close proximity to each other suggest Hoping’s business needs a runway. Those affected by today’s layoffs will receive compensation and health benefits for three months, access to mental health benefits, and a year-long break for share transfers, Hopin said. Employees can also leave their laptops.
“Hopin’s mission has always been to create technology that connects people better, and these changes have been made so we can focus on that more than ever,” a TechCrunch spokesperson said via email.
Current and former Hopin employees can contact Natasha Mascarenhas via email at [email protected] or via Signal, a secure encrypted messaging app, on 925 271 0912.
Credit: techcrunch.com /