Before the release of its AI pin, Humane fires 4 percent of its employees

In March, the secretive startup will begin shipping its first device.

Humane, a five-year-old startup, recently made a tough decision to let go of 4 percent of its workforce, affecting 10 employees. Sources familiar with the matter revealed that the move was described as a cost-cutting measure, attributed to the leadership’s earlier announcement about lowering budgets for the year. 

The company, backed by over $200 million in funding from notable Silicon Valley figures, including OpenAI CEO Sam Altman, is gearing up to release its much-anticipated AI Pin—a $699, screenless device positioned as a smartphone alternative.

Despite the excitement surrounding the upcoming product, Humane’s recent layoffs have added a layer of complexity to its narrative. CEO Bethany Bongiorno, along with her husband Imran Chaudhri, initiated the startup in 2019 after extensive careers at Apple. When approached for a statement, Bongiorno refrained from offering one directly and instead took to LinkedIn to characterize the cuts as part of a broader organizational refresh, aligning with the company’s evolution for the next phase of growth.

In her post, Bongiorno mentioned that the founding CTO, Patrick Gates, would transition to an advisory role to prioritize family time. She highlighted the promotion of new heads in hardware, software, and people as part of a strategic reorganization. However, discrepancies arise as sources claim that the affected employees were informed of the layoffs both verbally and in writing, contrary to Bongiorno’s assertion that they were not communicated as such.

Also Read | Humane launches AI Pin, a wearable powered by OpenAI

Bongiorno defended the decision, stating that, “It goes without saying that, like every company, we have a responsibility to remain prudent and proactive, ensuring we have the right roles, right people, and the right structure at every juncture.” The company is moving forward with its plans to ship the AI Pin in March, emphasizing a commitment to growth and adaptation during these transformative times.