Pinterest to cut up to 15% of its workforce as focus on AI intensifies

Pinterest said Tuesday it’s readying to slash up to 15% of its workforce.

The San Francisco-based image-sharing level utilized for inspiration for location decor, manner and different interests is laying disconnected workers arsenic portion of a restructuring plan.

It volition partially usage the savings to money “AI-focused roles and teams that thrust AI adoption and execution,” Pinterest said successful a filing with the U.S. Securities and Exchange Commission.

As of April, Pinterest had 4,500 employees worldwide successful the U.S. and different countries specified arsenic Germany, Japan and Brazil. The institution didn’t instantly respond to questions astir however galore of those cuts would beryllium successful California.

Pinterest is the latest tech institution cutting jobs portion besides focusing connected investing much successful artificial intelligence. Tech companies are competing head-to-head successful a contention to beforehand AI, prompting businesses to rethink however they walk their money.

Last week, bundle institution Autodesk said it was slashing 7% of its workforce oregon astir 1,000 jobs. Meta, the genitor institution of Facebook and Instagram, is besides laying disconnected much than 1,000 employees and shuttering contented studios. The societal media giant, which sells AI-powered astute glasses, laid disconnected workers who focused connected the metaverse, integer spaces wherever radical socialize, work, learn, and prosecute different online activities.

Pinterest allows radical to store oregon hunt for images and videos to assistance program a wedding, abrogation oregon day meal connected its platform. Users prevention images wrong integer boards truthful they tin signifier their ideas successful 1 place. Pinterest makes wealth done advertizing and competes with larger tech giants, including Instagram and Google.

Like different companies, Pinterest has besides been focusing connected AI, which is changing however radical hunt for contented and store on with advertising. Last year, the institution rolled retired an AI-powered adjunct that provides personalized recommendations for covering and different products its users are funny successful buying.

“Over the past fewer years, we’ve transformed Pinterest from a level of model shopping, wherever users often recovered that each the stores were closed into an AI-powered visual-first buying assistant,” Pinterest Chief Executive Bill Ready said successful November aft the institution released its third-quarter results.

But the institution besides struggled to deed Wall Street’s expectations that month. Pinterest’s banal plummeted much than 20% aft it reported disappointing earnings. Over the past 12 months, Pinterest shares person mislaid adjacent to 30% of their value.

As retailers look higher costs from tariffs, they besides look reduced advertizing spending connected platforms specified arsenic Pinterest. Ready said connected Pinterest’s November telephone that retailers were facing “tariff-related borderline pressure.”

“We deliberation that’s disproportionately impacting ample retailers, but that is simply a conception that we person much vulnerability to than different platforms fixed our absorption connected shopping,” helium said.

Pinterest’s third-quarter income reached $1.05 billion, up 17% from the aforesaid play successful 2024. Its nett income was $92 million, up 201% from $30 million. The institution has astir 600 cardinal monthly users worldwide.