Artificial Intelligence is the most discussed topic of the last one year. Amidst the development of AI, the most debated topic is what will be its impact on the job market in the future. Amidst all this, an AI company is now garnering attention. Here too, the focus of the discussion is on jobs, but the reason for the discussion is completely different.
This is the case of the generative AI startup company Cohere. It is being said in the news that the AI startup company is going to layoff employees. The company has informed the affected employees about this. Interestingly, the startup company has started preparations for layoffs at a time when just a day ago it has succeeded in raising huge funds.
Got so much fund a day before
According to a Fortune report, startup Cohere raised $500 million in a new funding round on Tuesday this week and is now going to layoff employees. A day earlier, the company was in the news for raising new capital and a new high in valuation. The company’s value in the latest funding round has been estimated at $5.5 billion. A day after that, the company is in the news for layoffs.
Impact on 5% 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 its workforce. The company’s CEO Aidan Gomez has written a letter to the employees informing them about the possible layoffs.
The CEO told this reason for the layoffs
Gomez says that to stay ahead and remain 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 doing layoffs. He also assured that his AI startup company will continue to hire people at a rapid pace in the future. The company’s focus will be on filling the vacant positions and bringing new people in the strategic areas chosen for growth.
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