"Pinterest will trim less than 15% of its workforce, the social media platform said Tuesday, as it plans to reallocate resources to its artificial intelligence-focused roles and strategy. Shares of the company, however, tumbled nearly 10% after its AI pitch failed to ignite investor enthusiasm, underscoring heightened competition from TikTok and Meta-owned Facebook and Instagram for ad market share. "Without clear cost savings or a concrete path to AI-driven revenue growth, these cuts look more defensive than strategic," said Emarketer analyst Jeremy Goldman."
"Top executives at the World Economic Forum's annual meeting earlier this month had said while jobs would disappear, new ones would spring up, with two telling Reuters that AI would be used as an excuse by companies which were planning layoffs anyway. Last week, design software maker Autodesk also announced a 7% job cut to redirect investments to its AI efforts."
"Pinterest has rolled out Pinterest Assistant shopping tool for personalized product recommendations and the Performance+ ad suite for automating campaigns. The company said it expects pre-tax restructuring charges of $35 million to $45 million and that it"
Pinterest will cut less than 15% of its workforce to reallocate resources toward artificial intelligence-focused roles and strategy. The company had 5,205 full-time employees as of September, so the reduction would translate to fewer than 780 positions. Shares fell nearly 10% after the AI pitch failed to excite investors amid competition from TikTok and Meta-owned Facebook and Instagram for ad market share. Pinterest plans to close smaller office spaces tied to acquisitions and has rolled out Pinterest Assistant and the Performance+ ad suite while expecting $35–45 million in pre-tax restructuring charges.
Read at New York Post
Unable to calculate read time
Collection
[
|
...
]