Placer.ai lays off 150 employees in a push for profitability
Placer.ai lays off 150 employees in a push for profitability
The Israeli location analytics firm reduces its workforce by 18% as it prioritizes cost efficiency and a more focused growth strategy.
Israeli company Placer.ai, which develops a location analytics and foot traffic data platform, laid off approximately 150 employees this month, accounting for about 18% of its total workforce of 850 people. Most of the employees affected by the layoffs are based in the U.S.
Placer raised $75 million at a $1.5 billion valuation in August of last year, marking a 50% increase from the $1 billion valuation it received during its previous funding round in January 2022. The company’s long list of investors includes Aleph, Josh Buckley, WndrCo, Lachy Groom, MMC Technology Ventures LLC, Fifth Wall Ventures, and Array Ventures. To date, Placer has raised over $240 million.
Placer.ai was founded in 2018 by Noam Ben-Zvi, Zohar Ben-Yehuda, Ofir Lemel, and Oded Fossfeld. The company’s foot traffic analytics platform allows customers with a stake in the physical world to generate insights into any property, helping them understand the factors that can drive success.
According to Ben-Zvi, the company surpassed a $100 million annual revenue run rate last February and has seen its customer base grow to more than 4,300, up from around 1,000 in 2022.
In response to the layoffs, the company stated: “Placer is prioritizing profitability and adopting a more focused strategy to better serve our core markets while continuing to invest in the company’s long-term growth. To achieve this, we are streamlining operations and reducing costs in areas that are not immediately critical to our mission. These measures aim to create a leaner, more efficient organization positioned to capture future opportunities.”
