DeepL, the German startup building translation tools, announced plans to cut approximately 25% of its workforce, a move its Chief Executive Officer Jarek Kutylowski attributed to the "massive structural shift" from artificial intelligence.
About 250 employees will be cut, subject to legal processes, Kutylowski said in a post on LinkedIn on Thursday. The company, which makes AI software for translations in multiple languages, has slightly more than 1,000 employees. Adapting the company to work effectively with AI "means fewer layers, faster decisions and far less time spent on the back and forth that slows large teams down," he said.
Job cuts across the technology industry are surging as AI tools replace work traditionally done by programmers and as the companies redirect resources to building out their own AI products. Meta Platforms Inc. announced plans to cut 10% of its workers last month. Microsoft Corp. is offering about 7% of its US workforce buyouts.
Cologne-based DeepL, founded in 2017 as a rival to Google Translate, offers tools that let developers build applications in multiple languages. More recently it's had to compete with translation services offered by ChatGPT and other AI tools.
DeepL raised $300 million at a valuation of $2 billion in 2024 and has weighed an initial public offering in the US.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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