Monday.com plans 20% layoffs citing 'AI-driven growth strategy'
Monday.com has announced plans to lay off 20% of its workforce as part of a strategic pivot toward an AI-driven business model. The company joins a growing trend of tech firms restructuring to prioritize AI development amid broader market concerns regarding software-as-a-service sustainability.
Why it matters
This move reflects the ongoing industry-wide shift where companies are sacrificing headcount to fund AI integration, signaling potential instability in the SaaS sector.
Monday.com cited its "AI-driven growth strategy" in its layoff plans. Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images Monday.com plans to cut 20% of its workforce, the company said in a securities filing. The project management platform cited its "AI-driven growth strategy" in the disclosure. The company's stock has slumped in the last year as fears of a "SaaSpocalypse" grow. Big cuts are coming for Monday.com. The enterprise software company plans to cut 20% of its workforce, according to a Form 6-K it filed. The layoffs are meant to align the company with its "strategic focus on the AI Work Platform," the disclosure said. Monday.com joins the growing group of companies citing AI while announcing layoffs, like Snap and Block.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in