Skip to main content

Segment, the $1.5 billion data analytics startup taking on Oracle and Salesforce, has cut 10% of its total staff amid the downturn

* Data analytics unicorn Segment cut 10% of its staff as it navigates the difficulties brought by the coronavirus-driven downturn. * The company, last valued at $1.5 billion, offers a customer data platform aimed to take on industry giants like Oracle and Salesforce. It's attracted about $284 million in total funding from investors such as Accel and Alphabet's GV.  * At last count, Segment CEO Peter Reinhardt told Business Insider that the company had over 19,000 customers, including direct-to-consumer unicorn Glossier.  * But as stay-at-home orders and social distancing guidelines have squeezed companies, enterprise companies like Segment are also beginning to get affected.  * Visit Business Insider's homepage for more stories. Data analytics unicorn Segment cut a little over 50 jobs from its workforce on Wednesday, as it navigates the difficulties brought by the coronavirus-driven downturn. Segment CEO Peter Reinhardt confirmed that the startup had laid off 10% of its staff in an emailed statement to Business Insider on Thursday, adding that the company was still adjusting to a situation was changing day-by-day.   Segment will also be restructuring the organization to adjust to the economic changes wrought by the COVID-19 pandemic, Reinhardt added, but did not offer further details.  The $1.5 billion company offers data management and analysis services to customers, and promises to deliver a more complete approach to the business than the customer relationship management (CRM) tools offered by industry giants like Oracle and Salesforce. Its bid to do so won it close to $284 million in total funding from investors such as Accel and Alphabet's GV.  At last count, Segment CEO Peter Reinhardt told Business Insider that the company had over 19,000 customers, including high-profile brands like Glossier, the direct-to-consumer beauty unicorn that closed its stores in March, as the coronavirus began to hit the United States. But stay-at-home orders and social distancing guidelines have squeezed its pool of customers, enterprise companies like Segment are beginning to anticipate a slowdown in their own businesses as IT budgets start to shrink — and is now trying to quickly adapt.  One of the main goals that Segment now has is to build products for "customers being pushed head-first into rapid digital transformation in this new socially-distanced world," Reinhardt wrote. "Balancing these goals in the shadow of the COVID-19 pandemic while making sure that we're well-resourced for the next few years has meant that we had to make the difficult choice of reducing the size of our team and restructuring our organization for this new all-digital world," Reinhardt added.  You can read Segment's full statement below:  "It's true that yesterday was a very difficult day at Segment. We had to lay off approximately 10% of our team.  Over the past month we've been working hard to understand the impact of COVID-19 on our business. As is true for so many, the situation changes day-to-day, and we've had to make several adjustments as new data emerges. In approaching planning for the near and long term alike, we must accomplish three things: (1) deliver great experiences to our customers; (2) take care of and support the Segment team; and (3) invest in continuing to build great products, especially for customers being pushed head-first into rapid digital transformation in this new socially-distanced world. Balancing these goals in the shadow of the COVID-19 pandemic while making sure that we're well-resourced for the next few years has meant that we had to make the difficult choice of reducing the size of our team and restructuring our organization for this new all-digital world. We're working hard to support the well-being of the people impacted by this layoff as well as the rest of Segment. Recent events have shown us that while there are many things outside of our control, what we can control is how we come together to support one another as we move ahead. Our mission and vision remain unchanged, and never more relevant: to enable customer-focused growth with good data." Join the conversation about this story » NOW WATCH: What makes 'Parasite' so shocking is the twist that happens in a 10-minute sequence
https://bit.ly/2Whk19T

Popular posts from this blog

A full breakdown of what channels you get with every Sling TV package, plus all the add-ons

  * Sling is one of the most affordable cord-cutting services on the market, offering two packages —  Orange and Blue — with 30+ channels starting at $30 a month or combined for $45 a month. * Orange offers the Disney Channel and ESPN, while Blue offers a slate of Fox channels, NBC, Bravo, and Discovery. Both Orange and Blue offer CNN, TBS, Food Network, and BBC America. * You can also add on multi-channel packages, like Sports Extras, Kids Extras, or News Extras, starting at $5 a month. Premium add-ons, like Showtime, Starz, and Epix, are also available for an additional monthly charge.  * If you're new to Sling TV, you can receive a free 14-day trial for a limited time. * Here's a complete breakdown of the channels offered on each Sling package.    If you're hoping to get the most bang for your buck once you cut the cord with your cable subscription, Sling is one of the most affordable live streaming services on the market.  The service has two packages with ...
Read more

Here's an exclusive look at the pitch deck London fintech Lanistar used to raise $19 million at a $190 million valuation

* London-based fintech startup Lanistar has raised a £15 million ($19 million) funding round from Milaya Capital.  * Founded in 2019, Lanistar is building a personal financial management platform that will launch later in 2020.  * "We're expecting a huge amount of growth upon our launch and have already seen strong interest among our sign ups," Gurhan Kiziloz, founder and CEO of Lanistar, told Business Insider. * Visit Business Insider's homepage for more stories.  The coronavirus lockdown in the UK has brought the importance of managing money into sharp relief. A recent study from Money.com shows that 71% of UK households have saved cash during lockdown, and, with uncertainty about jobs and the economy looming, money management is now front of mind for many. Lanistar, a banking platform with a focus on personal finance, is one company offering tools for consumers to better manage their money. It has just raised a £15 million ($19 million) funding round from Mil...
Read more

Why an early exec quit unicorn food delivery startup Deliveroo to launch a food business in the middle of a pandemic

* A former Deliveroo exec has launched a market food hall startup in the middle of COVID-19. * Dan Warne was managing director of the unicorn startup until 2019, but has now launched Sessions Market as a community food hall concept to rejuvenate UK towns after the pandemic. * Warne says he hopes to bring his experience from Deliveroo, particularly about customer behavior, to the analogue world of food halls. * The first venue, Shelter Hall on Brighton seafront, launches July 4. * Visit Business Insider's homepage for more stories. On Saturday, the UK's bars, restaurants, and cinemas will fling their doors open to customers for the first time since a strict lockdown commenced in late March. Given continued public health concerns around the coronavirus pandemic, it might be unwise to open a new food business right now. But Dan Warne, a former high-level executive at British unicorn startup Deliveroo, has launched Sessions Market, a series of community-orientated food hal...
Read more