New Delhi, September 22: App development startup Appsmith laid off around 25 per cent of its workforce, or 35 employees, earlier this week, the media reported on Friday. According to Inc 42, citing sources, the US and India-based startup attributed the layoffs to the challenging market conditions and the slowdown in business.
“In 2023, our growth rates, and our revenue growth dipped. This challenge has affected us and every company. There is also a shift towards sustainable growth vs. growth at all costs. This requires us to operate differently,” Appsmith cofounder and CEO Abhishek Nayak was quoted as saying in the mail. Cisco Layoffs: Global Networking Giant Announces to Lay Off 350 Employees in Silicon Valley in Latest Round of Job Cuts.
According to Nayak, the startup is adapting to the evolving fundraising market by focusing on operational efficiency in order to achieve long-term success. He also mentioned in the internal mail sent to employees that the current and forecasted revenue requires the startup to have a “leaner, more efficient, and focused team” to prioritise revenue effectively, according to the report.
“We’ve experienced the strongest revenue growth ever in recent quarters, but also recognise the need for more R&D investment, and a longer runway to reach our long-term revenue goals… The impact of reducing our team size is a terrible thing for many of us and one that I’m deeply sorry about,” the mail mentioned.
Employees from all departments were affected by the layoffs. The startup has offered the impacted employees a two-month salary as a severance package. It will also provide outplacement services and allow impacted employees to keep their office laptops, the report said. General Motors Layoffs: GM Lays Off 2,000 Workers After Halting Operations at Kansas Factory, Blames Striking Workers for Job Cuts.
Appsmith is a low-code software startup founded in 2019 by Nayak, Arpit Mohan, and Nikhil Nandagopal. It enables businesses to create and customise apps to meet their specific needs. The startup offers tools that allow developers to build applications in hours using pre-built components and APIs. Its competitors include Builder.ai, Visual LANSA, and Mendix.
(The above story first appeared on LatestLY on Sep 22, 2023 11:30 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).