Individuals stand in entrance a banner displaying Palantir Systems Inc. signage all through the firm’s original general public providing (IPO) in front of the New York Inventory Trade (NYSE) in New York, Sept. 30, 2020.
Michael Nagle | Bloomberg | Getty Photographs
Palantir confirmed on Monday that it’s cutting about 2% of its workforce as layoffs continue on to hammer the tech industry.
“We believe that our business is at an inflection issue and to keep on to evolve, we are making the tricky decision of decreasing groups in numerous places,” the enterprise said in an emailed statement. “Whilst significantly less than 2% of our workforce is impacted by these modifications, these are incredibly painful conclusions but the correct types for the firm’s foreseeable future.”
The layoffs will affect roughly 75 people centered on the firm’s most up-to-date SEC report in December, which showed it had 3,838 staff. A spokesperson explained to CNBC that the corporation programs to carry on choosing in spots of strategic value.
Shares of Palantir had been minimal improved on Monday and are up 27% so considerably this year.
The headcount reduction comes just after the program firm reported its to start with rewarding period previously this thirty day period for the fourth quarter, and CEO Alex Karp stated Palantir expects to generate a profit for the current fiscal calendar year. Palantir, which is recognised for its perform with govt defense companies, documented an 18% boost in fourth-quarter profits to $509 million.
Palantir is the latest tech company to announce layoffs as the field reckons with a slowdown subsequent over a decade of unbridled advancement. Twilio, Dell, Zoom and eBay disclosed significant cuts to their workforce this thirty day period. In January, Google revealed designs to lay off a lot more than 12,000 workers, Microsoft announced plans to cut 10,000 employees and Salesforce said it prepared to cut 7,000 work opportunities.
Check out: Palantir CEO Alex Karm discusses economic and geopolitical outlook from Davos
