Conversational AI platform, Gupshup has carried out another round of layoffs, letting go of nearly 200 employees earlier this month. Over the past 18 months, through a combination of additions and reductions, our net employee count has been reduced by 300.
Since 2021, Gupshup has grown its team 7x to 1,500 employees through the strategic acquisition of five companies and lateral hiring. This expansion fueled our global footprint, accelerated innovation, and enabled us to launch new products while scaling operations rapidly. Furthermore, Gupshup clarified that the layoffs were not limited to its acquired firms. The company stated that these actions are part of broader efforts to improve efficiency and profitability amid evolving business needs.
Founded in 2004, Gupshup started as an SMS-based platform and has since transformed into a full-scale conversational AI company. It helps businesses engage with customers via WhatsApp, Instagram and other chat platforms. Recently, it has focused on building AI agents for marketing, commerce and customer support.
Despite recent layoffs, Gupshup claims to remain profitable and has denied reports of any planned job cuts planned in June. The company stated that it reduced its overall net headcount to about 300 in the past 18 months.
Backed by major investors such as Tiger Global, Tenaya Capital, and Fidelity, Gupshup was last valued at $1.4 billion in 2021. However, following its December layoffs, Fidelity cut its valuation by 65 per cent, reducing its estimate to around $486 million.
Financially, Gupshup reported a 55 per cent year-on-year revenue increase in FY23, reaching $3 million. The company has not yet disclosed its FY24 performance figures but has indicated ambitions to double revenue this fiscal year.
As the company continues its shift toward profitability and AI-led growth, it remains under close industry watch for further developments in talent and valuation.
Source – https://www.hrkatha.com/news/gupshup-lays-off-200-employees-amid-second-restructuring/