Data analytics unicorn Segment, a $1.5 billion startup competing with giants like Oracle and Salesforce, laid off 10% of its staff in early May 2020, cutting just over 50 jobs. The layoffs were a direct response to the economic challenges brought on by the COVID-19 pandemic, which led to shrinking IT budgets and a slowdown in business as enterprise customers were squeezed. CEO Peter Reinhardt stated the company was restructuring to adapt to the rapidly changing situation and to focus on supporting customers undergoing digital transformation. Despite serving over 19,000 clients and having raised about $284 million from investors like Accel and GV, Segment took this step to ensure it remained well-resourced for the future amid the downturn.
