Tile, one of the best known item-tracking gadgets out there, has laid off some 30 people and reportedly stopped the potential hires of another 10, TechCrunch has learned. This comes less than a year after the company raised a $25 million B round last May. The layoffs are reportedly due to disappointing sales over the holidays.
When reached for comment, Tile offered the following statement:
As part of our 2018 planning process, the Tile leadership team determined that a recalibration of our priorities was necessary so that the company can focus on the development of our Tile Platform business and core hardware products. Unfortunately, this means that we had to say goodbye to roughly 30 Tile colleagues. Tile remains the leader in smart location, and we will continue creating a world where everyone can find everything that matters.
The roughly 30 employees being recalibrated weren’t solely from any one area, according to information provided to TechCrunch, so it seems as the company says to be a general cost saving measure. A Tile representative pointed out that a hiring freeze was not announced, so the 10 hires that were reportedly prevented from taking place are still a bit of a question mark.
Tile revamped its product line late last summer, improving range and adding two new “Pro” units: a sporty one for active types and a fancy white-and-gold “Tile Style.” Perhaps it was too little, too late, or perhaps Tile has become too popular for its own good and everyone already has all the Tiles they need.
At CES, it announced a handful of new partners that will integrate Tile tech into their products. This is reportedly the new focus of the company — being a platform-first rather than a hardware-first company. No doubt the devices will still be made and sold, of course, but it won’t be the totality of the Tile offering.
Here’s hoping it works and these layoffs are the last we hear of.
Published at Fri, 19 Jan 2018 01:57:43 +0000