Calm, the corporate behind the meditation, stress and sleep app, has laid off 20% of its employees, in keeping with a memo despatched to workers on Thursday.
The Wall Street Journal reported that about 90 staff misplaced their jobs, and that Calm employed about 400 folks. The memo from CEO David Ko stated the corporate is “not proof against the impacts of the present financial atmosphere.”
“We didn’t come to this determination evenly, however are assured that these adjustments will assist us prioritize the long run, concentrate on progress and develop into a extra environment friendly group,” Ko wrote within the memo.
THE LARGER TREND
Ko was beforehand CEO of Ripple Well being Group, an organization that made apps for care coordination and situation administration. It was acquired by Calm earlier this year, and Ko was named co-CEO, alongside Michael Acton Smith. Ko took on the full CEO role earlier this summer time.
Calm introduced it had scored $75 million in Series C funding in December 2020, boosting the corporate’s valuation to $2 billion. It had beforehand raised a complete of $115 million in Series B investments in 2019.
Quite a lot of digital well being corporations have laid off staff in current months. TechCrunch recently reported that digital pharmacy Truepill had laid off one other 175 staff, its third spherical of cuts up to now this 12 months.
Late final month, digital care firm Included Well being and digital therapeutics maker Pear Therapeutics made cuts. Included Well being stated it had lowered its workforce by lower than 6%, whereas Pear laid off round 25 workers, about 9% of its full-time employees.
Healthcare automation firm Olive additionally let go of about 450 workers in July and pivoted towards a brand new technique geared toward extra shortly attaining profitability.
Different digital well being corporations pursuing layoffs this 12 months embody payment company Cedar, digital pharmacy Capsule, wearable fitness-focused WHOOP, digital care firm Ro, at-home diagnostics firm Cue Health and hybrid care supplier Carbon Health.
