Calm, the corporate behind the meditation, stress and sleep app, has laid off 20% of its workers, in response to a memo despatched to staff on Thursday.
The Wall Avenue Journal reported that about 90 staff misplaced their jobs, and that Calm employed about 400 folks. The memo from CEO David Ko stated the corporate is “not resistant to the impacts of the present financial atmosphere.”
“We didn’t come to this choice evenly, however are assured that these adjustments will assist us prioritize the longer term, give attention to progress and turn out to be a extra environment friendly group,” Ko wrote within the memo.
THE LARGER TREND
Ko was beforehand CEO of Ripple Well being Group, an organization that made apps for care coordination and situation administration. It was acquired by Calm earlier this yr, and Ko was named co-CEO, alongside Michael Acton Smith. Ko took on the total CEO position earlier this summer season.
Calm introduced it had scored $75 million in Collection C funding in December 2020, boosting the corporate’s valuation to $2 billion. It had beforehand raised a complete of $115 million in Collection B investments in 2019.
A lot of digital well being firms have laid off staff in latest months. TechCrunch not too long ago reported that digital pharmacy Truepill had laid off one other 175 staff, its third spherical of cuts to this point this yr.
Late final month, digital care firm Included Well being and digital therapeutics maker Pear Therapeutics made cuts. Included Well being stated it had lowered its workforce by lower than 6%, whereas Pear laid off round 25 staff, about 9% of its full-time workers.
Healthcare automation firm Olive additionally let go of about 450 staff in July and pivoted towards a brand new technique aimed toward extra shortly attaining profitability.
Different digital well being firms pursuing layoffs this yr embody cost firm Cedar, digital pharmacy Capsule, wearable fitness-focused WHOOP, digital care firm Ro, at-home diagnostics firm Cue Well being and hybrid care supplier Carbon Well being.