Pinterest has announced plans to lay off less than 15% of its global workforce as part of efforts to reduce office space costs and reallocate resources toward artificial intelligence initiatives.
In a regulatory filing on Tuesday, the company said it expects to complete the layoffs by late September. Pinterest disclosed that the restructuring will affect roughly 700 employees, based on its 4,666 full-time staff as of the end of 2024.
According to the filing, the company is “reallocating resources to AI-focused roles and teams that drive AI adoption and execution,” while prioritising the development of AI-powered products and capabilities.
The move reflects a broader industry shift as major tech firms accelerate investments in AI. Earlier this year, Pinterest launched Pinterest Assistant, an AI companion designed to provide users with shopping advice and personalised recommendations. The company has also begun testing AI-powered personalised boards.
During its most recent earnings call, Pinterest CEO Bill Ready highlighted the potential of open-source AI models to help manage costs while scaling AI innovation.
Pinterest said it expects to incur pre-tax restructuring charges ranging between $35 million and $45 million.
