CalmThe company behind the meditation, stress and sleep app, has laid off 20% of its employees, according to a memo sent to employees on Thursday.
The The Wall Street Journal reported that about 90 workers lost their jobs and Calm employed about 400 people. The memo from CEO David Ko says the company is “not immune to the effects of the current economic environment.”
“We have not taken this decision lightly, but are confident that these changes will help us prioritize the future, focus on growth, and become a more efficient organization,” Ko wrote. in the memo.
TREND TO BIGGER
Ko was previously the CEO of Ripple Health Group, a company that creates apps for care coordination and condition management. It was acquired by Calm earlier this year, and Ko was named co-CEO, along with Michael Acton Smith. Ko take on the full role of CEO early this summer.
Calm announced that it has scored $75 million in Series C . funding in December 2020, raising the company’s valuation to $2 billion. Previously it raised the total $115 million in Series B . investments in 2019.
Several digital health companies have laid off workers in recent months. TechCrunch recent report that digital pharmacy Truepill laid off another 175 workers, the third cut so far this year.
Late last month, virtual care company Including health and digital therapy drug maker Pear Therapeutics cuts. Including Health said it has reduced its workforce by less than 6%, while Pear has laid off about 25 employees, about 9% of full-time employees.
Healthcare automation company Olive also give away about 450 workers in July and revolved around a new strategy to achieve profits more quickly.
Other digital health companies pursuing layoffs this year include payment company Cedar, digital pharmacy capsulefocus on wearable fitness WHOOPvirtual care company Rohome diagnostic company Cue Health and mixed care providers Carbon Health.