In May 2022, Scott Galloway's edtech startup Section4 laid off 32 employees, representing a quarter of its staff. The company, which had 142 employees at the time, conducted the layoffs across all teams, with a significant impact on the product department. The restructuring was driven by financial mismanagement, a lack of product-market fit, and over-hiring, as the company struggled with consumer growth. Section4, which offers affordable, virtual business school-style courses, shifted its focus toward enterprise clients, citing the high production costs of its core offerings. The layoffs were part of a broader post-pandemic reset in the tech industry.
