Snorkel AI Lays Off 31 Employees Amid Business Shift URGENT
BREAKING: Snorkel AI, a $1.3 billion Silicon Valley startup, has laid off 31 employees, representing 13% of its workforce. The layoffs, confirmed this afternoon, primarily impacted the software engineering team, as the company pivots towards its “data-as-a-service” business model.
On Wednesday, Snorkel AI announced the decision to cut positions in light of a strategic shift. The layoffs were particularly concentrated among software engineers, with 13 of the 31 affected employees from that department. Notably, most roles focused on artificial intelligence were spared, with only three out of twenty-five applied AI engineers let go.
The company, which launched publicly in 2020, has been at the forefront of automating data labeling processes, essential for training AI models. With partnerships including tech giants like Google and Anthropic, Snorkel AI has positioned itself in a booming market that relies heavily on human expertise.
In a statement to Business Insider, Snorkel AI expressed gratitude for the contributions of affected employees and emphasized its commitment to supporting them during this transition. The company stated,
“This, unfortunately, also means saying goodbye to some talented colleagues in these areas. We are grateful for their contributions and are supporting them through this transition.”
The layoffs come in the wake of similar reductions in the industry. Just last month, Scale AI laid off 14% of its workforce after experiencing significant shifts in customer dynamics following a major investment from Meta. Industry experts are closely monitoring these developments, as the competitive landscape for AI data services evolves.
Looking ahead, Snorkel AI aims to focus its resources on areas where it can make the most impact, aligning with the shifting demands of its client base. As the company navigates these changes, stakeholders and employees alike are eager to see how this strategic realignment will unfold.
For those following the AI sector closely, these changes at Snorkel AI could signal broader trends in workforce management and technological adaptation in an increasingly competitive market. Stay tuned for more updates on this developing story.
