Discord, a Prime Unicorn Index component and popular chat app, has recently implemented significant layoffs, affecting a notable percentage of its workforce. According to an internal memo obtained by The Verge, the company has laid off 17% of its staff, or 170 employees. This decision represents the most extensive workforce reduction in Discord’s history, following a 4% staff cut last August. In the memo, the company’s CEO, James Citron, attributed the job cuts to rapid growth and operational inefficiencies. The company emphasized its commitment to supporting the affected employees with severance packages, continued benefits, and other resources to aid their transition. This decision is part of Discord’s strategy to enhance focus and agility in its business operations.
Discord has raised a total of $1.05 billion, with its most recent funding round being a $500 million Series I in September 2021, valuing the company at $14.39 billion. Investors include Dragoneer, Coatue, Fidelity, Franklin Templeton, Index Ventures, Tencent, Greenoaks Capital, IVP, Greylock, and Benchmark, among others.