StreamElements is laying off another 60 employees, accounting for 35% of the company’s workforce. This is the third round of layoffs at the company, which parted with around 20% of its team in June 2022, as well as another 40 employees in January of this year.
StreamElements was founded in 2017 by Or Perry, Doron Nir, Gil Hirsch, and Reem Sherman. The company has a platform-agnostic approach and provides production tools and services, such as overlays, alerts, chatbots, merchandise stores, and tipping. StreamElements raised $100 million in funding led by SoftBank Vision Fund 2 in September 2021. The round also included participation from PayPal Ventures, MoreTech, State of Mind Ventures, Pitango First, Menorah, and Mivtach Shamir, among others.
"Given the challenging market conditions, the slowdown in the advertising market persisted in the last quarter as well. Despite the increase in advertising budgets from new clients, it did not offset the reduction in advertising budgets from existing clients. Consequently, to ensure the company's readiness for sustainable growth, while aiming for profitability and eliminating the necessity for future external funding, we find ourselves compelled to implement various changes, including additional workforce reductions,” StreamElements said in a statement. “StreamElements remains committed to crafting products for content creators that will reinforce its role as a frontrunner in the content creator economy across Twitch, YouTube, and TikTok."
