Weedmaps

Cannabis-tech firm Weedmaps is laying off up to 175 employees, representing about 25% of its workforce, as the broader cannabis industry faces a significant downturn. The majority of these cuts occurred in early December 2022, following a previous 10% reduction in August. The layoffs come amid a leadership transition, with co-founder Doug Francis serving as interim CEO after Chris Beals stepped down in November. Facing a steep decline in its stock price and market value, the company cited the need to achieve profitability and positive cash flow in 2023. Its clients, cannabis businesses, are reducing spending due to regulatory uncertainty, falling sales, and a tough economic climate.

Cannabis-tech company Weedmaps laid off approximately 10% of its workforce in early August 2022, affecting around 60 employees out of a total of 606 full-time workers at the end of 2021. The decision, communicated by CEO Chris Beals, was driven by a significant slowdown in legal cannabis sales in key markets like Colorado and California, rising fuel costs, and broader economic concerns pointing to a potential recession. Beals acknowledged misjudging the market's recovery timeline. The layoffs aim to help the company navigate ongoing industry turbulence and achieve profitability amid a challenging period for the cannabis sector, which has seen Weedmaps' stock drop over 55% this year.