Latest from Multi News Outlets

10 SoftBank-backed startups that have laid off hundreds of workers amid a wave of job

  • At least 10 companies backed by SoftBank have had layoffs so far this year. 
  • Many of these companies have cut staff within the past month.
  • SoftBank said in March that it lost $27 billion from investments across its two venture funds.

Layoffs have hit a series of SoftBank-backed startups with at least 10 companies cutting their workforce in the past few months.

SoftBank portfolio companies Gopuff, Remote, and NextBite have all made cuts within the past week. Rapid delivery startup Gopuff recently had a second round of layoffs after parting ways with some employees in March. 

Two companies that laid off workers had also raised fresh capital from SoftBank this year. In February, ethnic ecommerce grocer Weee! announced that SoftBank led its $425 million Series E funding round, while onboarding startup Remote raised $300 million Series C funding, also led by SoftBank. Both companies have since laid off 10% of their staff. 

For SoftBank itself, the past year has been turbulent. Amidst a souring market and rising inflation rates, many of SoftBank’s investments have struggled to keep pace. In March, SoftBank said that it had lost more than $27 billion across its two venture funds, Vision Funds 1 and 2, since the previous year. Through these funds, the Japanese conglomerate has invested in more than 400 companies. And several key executives have also left this year. 

The layoffs at the SoftBank-backed startups also come as several tech companies have either cut jobs or slowed hiring as they grapple with a broader market downturn. Many once thriving tech startups have been forced to downsize and scale back amid rising interest rates, inflation, and drying pools of VC funding. 

Read More: 10 SoftBank-backed startups that have laid off hundreds of workers amid a wave of job

Leave A Reply

Your email address will not be published.