Patreon is shedding 20% of its workforce, or 93 individuals, CEO Jack Conte instructed workers on Thursday. In a memo to employees that was shared online by the corporate, Conte mentioned Patreon’s core enterprise is robust however that the platform has to answer market modifications and modify its value construction to stay secure, which is why it must make the “painful” however essential cuts.
Conte wrote that “AI has basically remodeled the tech business,” and that the tempo of change has “by no means been extra intense.” Nevertheless, Conte went on to notice that Patreon isn’t making the cuts as a result of it needs to exchange workers with AI.
“To be clear in regards to the influence of AI on at present’s choice: we’re not making the above modifications as a result of we imagine AI replaces people,” he wrote. “The extra we have now discovered to make use of these new instruments, the clearer it has change into that they aren’t substitutes for the creativity, judgment, element orientation, or craftsmanship that our teammates have in spades, nor do they substitute the will for human connection that every one of us cherish so deeply. That’s my private opinion, however extra importantly, it’s the inspiration of Patreon’s technique: our product imaginative and prescient and enterprise are each predicated on the worth of human creativity and human connection.”
He continued, “AI has basically remodeled the tech business, although, together with how we work, how we construct merchandise, how we talk, and extra. That does have an effect on how we function and manage.”
Past the headcount discount, Conte mentioned Patreon can also be restructuring the way it operates, “flattening” its organizational chart and refocusing groups round its high priorities. Affected workers will obtain no less than 16 weeks of severance pay, plus a further week for yearly labored, healthcare protection by way of the tip of the 12 months, and a $1,500 stipend to exchange their firm laptop computer.
Final week, Patreon announced that it was partnering with web infrastructure supplier Cloudflare to immediately block entry to AI bots designed to coach their AI fashions on creators’ work with out permission. The corporate mentioned it needed to improve its efforts on this entrance as a result of AI scraping has change into extra refined. The transfer got here as on-line publishers and creators are grappling with AI firms utilizing their work to coach AI fashions.
Patreon’s newest spherical of layoffs is the platform’s largest because it minimize 17% of its employees again in 2022. Throughout that earlier spherical of layoffs, Patreon additionally closed its workplaces in Berlin and Dublin.
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