Humane, the five-year-old startup behind the highly anticipated AI Pin, has made headlines this week after laying off 4 percent of its employees in a cost-cutting measure. The move comes as the company prepares to ship its first device and amid a broader organizational restructure.
Sources familiar with the matter revealed that employees were recently informed by leadership that budgets would be lowered this year, paving the way for the layoffs. The cuts, totaling 10 people, were described as part of a wider refresh of the company’s organizational structure as it prepares for the next phase of growth.
Humane, which has raised over $200 million from prominent Silicon Valley figures, including OpenAI CEO Sam Altman, is the brainchild of CEO Bethany Bongiorno and her husband, Imran Chaudhri, both of whom had lengthy careers at Apple before starting the company in 2019.
In a post on LinkedIn, Bongiorno addressed the layoffs, framing them as part of a broader evolution of the company. She also announced that founding CTO Patrick Gates would transition to an advisor role to spend more time with his family.
Despite Bongiorno’s attempt to downplay the impact of the cuts, sources insisted that the layoffs were communicated verbally and in writing to those affected. Bongiorno, however, maintained that the cuts were not communicated as a layoff and emphasized the company’s responsibility to remain prudent and proactive in its operations.
The layoffs come as Humane gears up to ship its much-anticipated AI Pin, a $699, screenless, AI-powered pin that is being pitched as a smartphone replacement. The company unveiled the device to the world in November and began accepting preorders, with shipments planned to begin in March.
As Humane navigates this pivotal moment in its journey, it remains to be seen how the layoffs and organizational restructuring will impact the company’s trajectory and the reception of its groundbreaking AI Pin.