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Google lays off workers, Tesla cans its Supercharger team and UnitedHealthcare reveals security lapses | TechCrunch


Welcome, folks, to Week in Review (WiR), TechCrunch’s regular newsletter that recaps the week that was in tech. This edition’s a tad bittersweet for me — it’ll be my last (for a while, anyway). Soon, I’ll be shifting my attention to a new AI-focused newsletter, which I’m super thrilled about. Stay tuned!

Now, on with the news: This week Google laid off staff from its Flutter, Dart and Python teams weeks before its annual I/O developer conference. A total of 200 people were let go across Google’s “Core” teams, which included those working on app platforms and other engineering roles.

Elsewhere, Tesla CEO Elon Musk gutted the company’s team responsible for overseeing its Supercharger network in a new round of layoffs — despite recently winning over major automakers like Ford and General Motors. The cuts are so complete that Musk suggested in an email that they’ll force Tesla to slow the Supercharger network’s expansion.

And UnitedHealthcare’s CEO, Andrew Witty, told a House subcommittee that the ransomware gang that hacked U.S. health tech giant Change Healthcare — UnitedHealthcare’s subsidiary — used a set of stolen credentials to access Change Healthcare systems that weren’t protected by multifactor authentication. Last week, UnitedHealthcare said that the hackers stole health data on a “substantial proportion of people in America.”

Lots else happened. We recap it all in this edition of WiR — but first, a reminder to sign up to receive the WiR newsletter in your inbox every Saturday.

News

Hallucinations, hallucinations: OpenAI is facing another privacy complaint in the EU. This one — filed by privacy rights nonprofit noyb on behalf of an individual complainant — targets the inability of its AI chatbot ChatGPT to correct misinformation it generates about individuals.

Just walk out … of Sam’s Club: Sam’s Club customers who pay either at a register or through the Scan & Go mobile app can now walk out of the store without having their purchases double-checked. The technology, unveiled at the Consumer Electronics Show in January, has now been deployed at 20% of Sam’s Club locations.

TikTok circumvents Apple rules: TikTok is presenting some users with a link to a website for purchasing the coins used to tip digital creators on the platform. Typically, these coins must be bought via in-app purchase — which requires a 30% commission paid to Apple — suggesting TikTok might be attempting to skirt Apple’s App Store rules.

NIST’s GenAI platform: The National Institute of Standards and Technology (NIST), the U.S. Commerce Department agency that develops and tests tech for the U.S. government, companies and the broader public, has launched NIST GenAI, a new program to assess generative AI technologies, including text- and image-generating AI.

Getir pulls out: Getir, the quick commerce behemoth, has pulled out of the U.S., U.K. and Europe to focus on Turkey, its home country. The company — once valued close to $12 billion — said that the move would impact thousands of gig and full-time workers.

Analysis

Inside the Techstars “cold war”: Brilliant reporting by Dom peels back the curtains on a year of financial losses and employee cuts at startup accelerator Techstars, whose CEO, Maëlle Gavet, has been a controversial force for change.

AI-powered coding: Yours truly takes a look at Copilot Workspace, somewhat of an evolution of GitHub’s AI-powered coding assistant Copilot into a more general tool — building on recently introduced capabilities like Copilot Chat, which lets developers ask questions about code in natural language.

Autonomous car racing: Tim Stevens dives into the Abu Dhabi racing event that pitted a driverless car against a Formula 1 driver.


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Exclusive: Sprinklr lays off more than 100 employees


Sprinklr, a U.S. firm offering a customer experience management platform to global brands, has laid off about 3% of its workforce — around 116 people — to realign its customer operations team, the company confirmed to TechCrunch in a statement. The new job cuts come over a year after the company cut about 4% of its headcount in February last year.

The New York-headquartered company, which counts Microsoft, Samsung, P&G and over 60% of the Fortune 100 companies globally as customers, started notifying affected employees in markets including the U.S. and India about its decision on Thursday, TechCrunch exclusively learned and confirmed with the company through an email.

“Sprinklr made the strategic business decision to realign our headcount across our customer operations organization,” a company spokesperson said. “While these decisions are hard to make, they reflect the commitments we’ve outlined to restructure our business to accelerate our go-to-market efficiencies and better serve customers.”

The spokesperson confirmed that the job cuts did not affect C-level roles.

Sprinklr did not disclose the exact number of employees being laid off. According to its recent 10K filing (PDF), the company had 3,869 employees worldwide as of January 31. Of the total workforce, Sprinklr had 2,276 employees in India, 787 in the U.S. and 3,082 internationally.

“The restructuring will be done in accordance with local and country laws. This difficult, but necessary, action ensures we are aligned to our prioritized growth areas while supporting customers where they live and operate,” the spokesperson stated.

In March, Sprinklr reported a 17% year-on-year increase in its quarterly revenue for Q4 to $194.2 million from $165.3 million a year ago. The company also garnered GAAP operating income of $18.5 million compared to an operating loss of $1.8 million a year ago.

“While we will continue to hire in prioritized areas to support our growth, scale, and long-term success, our first priority is to support employees with the greatest care and respect, show appreciation for their contributions to Sprinklr, and to assist them in their transition. We will then continue our focus on strengthening our foundation, fostering innovation and enhancing our execution to drive value for our customers and shareholders,” the spokesperson said.

On Friday, Sprinklr was trading at $12.10 per share with a market cap of $3.30 billion.


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Exclusive: Google lays off staff from Flutter, Dart and Python teams weeks before its developer conference


Ahead of Google’s annual I/O developer conference in May, the tech giant has laid off staff across key teams like Flutter, Dart, Python and others, according to reports from affected employees shared on social media. Google confirmed the layoffs to TechCrunch, but not the specific teams, roles or how many people were let go.

“As we’ve said, we’re responsibly investing in our company’s biggest priorities and the significant opportunities ahead,” said Google spokesperson Alex García-Kummert. “To best position us for these opportunities, throughout the second half of 2023 and into 2024, a number of our teams made changes to become more efficient and work better, remove layers, and align their resources to their biggest product priorities. Through this, we’re simplifying our structures to give employees more opportunity to work on our most innovative and important advances and our biggest company priorities, while reducing bureaucracy and layers,” he added.

The company clarified that the layoffs were not company-wide but were reorgs that are part of the normal course of business. Affected employees will be able to apply for other open roles at Google, we’re told.

In one X post, a PM from Flutter and Dart said the layoffs had affected “a LOT of teams,” and that “lots of great projects lost people.”

“We’re sad, but still cranking hard on I/O and beyond,” wrote Google PM Kevin Moore in the Flutter development community on Reddit, where he added that Flutter and Dart weren’t affected any more or less than other teams. “We know ya’ll care SO MUCH about the project and the team and the awesome ecosystem we’ve built together. You’re nervous. I get it. We get it. You’re betting on Flutter and Dart. So am I. So is Google,” he said.

Google also told TechCrunch that Flutter will have new updates to share at I/O this year.

In a separate post on Reddit, another commenter noted the Python team affected by the layoffs were those who managed the internal Python runtimes and toolchains and worked with OSS Python. Included in this group were “multiple current and former core devs and steering council members,” they said.

Meanwhile, others shared on Y Combinator’s Hacker News, where a Python team member detailed their specific duties on the technical front and noted that, for years, much of the work was done with fewer than 10 people. Another Hacker News commenter said their early years on the Python team were spent paying down internal technical debt accumulated from not having a strong Python strategy.

“[D]espite the understaffing, we had managers who were extremely good about maintaining work/life balance and the ‘marathon, not sprint’ approach to work. As I said in another comment, it’s the best job I’ve ever had, and I’ll miss it deeply,” they wrote.

“Python was one of the very first languages used widely at Google. It was the last major backend language to get a language team,” the user, gpshead, also said.

Though Google didn’t detail headcount, some of the layoffs at Google may have been confirmed in a WARN notice filed on April 24. WARN, or the California Worker Adjustment and Retraining Notification Act, requires employers with more than 100 employees to provide 60-day notice in advance of layoffs. In the filing, Google said it was laying off a total of 50 employees across three locations in Sunnyvale.

CNBC reports that a total of 200 people were let go across Google’s “Core” teams, which included those working on Python, app platforms, and other engineering roles. Some jobs were being shifted to India and Mexico, it said, citing internal documents.

On social media, commenters raised concerns with the Python layoffs in particular, given the role that Python tooling plays in AI. But others pointed out that Google didn’t eliminate its Python team; it replaced that team with another group based in Munich — at least according to Python Steering Council member Thomas Wouters in a post on Mastodon last Thursday.

“It’s a tough day when everyone you work with directly, including your manager, is laid off — excuse me, ‘had their roles reduced,’ and you’re asked to onboard their replacements, people told to take those very same roles just in a different country who are not any happier about it,” he said.

Google said it would support all affected employees, in line with local requirements, by providing them with time to search for different roles at Google or elsewhere, access to outplacement services and severance.

Article originally published April 29, 2024, 11:32 AM PT. Updated with new info from CNBC on May 1, 2024, 1:55 PM ET. 




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Google lays off staff from Flutter, Dart and Python weeks before its developer conference | TechCrunch


Ahead of Google’s annual I/O developer conference in May, the tech giant has laid off staff across key teams like Flutter, Dart, Python and others, according to reports from affected employees shared on social media. Google confirmed the layoffs to TechCrunch, but not the specific teams, roles or how many people were let go.

“As we’ve said, we’re responsibly investing in our company’s biggest priorities and the significant opportunities ahead,” a Google spokesperson said. “To best position us for these opportunities, throughout the second half of 2023 and into 2024, a number of our teams made changes to become more efficient and work better, remove layers, and align their resources to their biggest product priorities. Through this, we’re simplifying our structures to give employees more opportunity to work on our most innovative and important advances and our biggest company priorities, while reducing bureaucracy and layers.”

The company clarified that the layoffs were not company-wide but were reorgs that are a part of the normal course of business. Affected employees will be able to apply for other open roles at Google, we’re told.

In one X post, a PM from Flutter and Dart said the layoffs had affected “a LOT of teams,” and that “lots of great projects lost people.”

“We’re sad, but still cranking hard on I/O and beyond,” wrote Google PM Kevin Moore in the Flutter development community on Reddit, where he added that Flutter and Dart weren’t affected any more or less than other teams. “We know ya’ll care SO MUCH about the project and the team and the awesome ecosystem we’ve built together. You’re nervous. I get it. We get it. You’re betting on Flutter and Dart. So am I. So is Google,” he said.

Google also told TechCrunch that Flutter will have new updates to share at I/O this year.

In a separate post on Reddit, another commenter noted the Python team affected by the layoffs were those who managed the internal Python runtimes and toolchains and worked with OSS Python. Included in this group were “multiple current and former core devs and steering council members,” they said.

Meanwhile, others shared on Y Combinator’s Hacker News, where a Python team member detailed their specific duties on the technical front and noted that, for years, much of the work was done with fewer than 10 people. Another Hacker News commenter said their early years on the Python team were spent paying down internal technical debt accumulated from not having a strong Python strategy.

“…despite the understaffing, we had managers who were extremely good about maintaining work/life balance and the ‘marathon, not sprint’ approach to work. As I said in another comment, it’s the best job I’ve ever had, and I’ll miss it deeply,” they wrote.

“Python was one of the very first languages used widely at Google. It was the last major backend language to get a language team,” the user, gpshead, also said.

Though Google didn’t detail headcount, some of the layoffs at Google may have been confirmed in a WARN notice filed on April 24. WARN, or the California Worker Adjustment and Retraining Notification Act, requires employers with more than 100 employees to provide 60-day notice in advance of layoffs. In the filing, Google said it was laying off a total of 50 employees across three locations in Sunnyvale.

On social media, commenters raised concerns with the Python layoffs in particular, given the role that Python tooling plays in AI. But others pointed out that Google didn’t eliminate its Python team, it replaced that team with another group based in Munich — at least according to Python Steering Council member Thomas Wouters, in a post on Mastodon.

“It’s a tough day when everyone you work with directly, including your manager, is laid off — excuse me, ‘had their roles reduced,’ and you’re asked to onboard their replacements, people told to take those very same roles just in a different country who are not any happier about it,” he said in a Mastodon post last Thursday.

Google said it would support all affected employees, in line with local requirements, by providing them with time to search for different roles at Google or elsewhere, access to outplacement services and severance.




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Robotic Automations

Defense startup True Anomaly lays off around 25%, cancels summer internship | TechCrunch


Space and defense startup True Anomaly has laid off around 25% of its workforce and cancelled its summer internship program, TechCrunch has learned.

“With our rapid growth over the past two years, we looked at every aspect of our company to make sure we are laser focused on our goals and best positioned to execute,” a company spokesperson said. “We identified the duplication of roles and functions across the company, and as such, reduced our headcount. This won’t impact our ability to execute on our contracts with customers or on our mission to bring security and sustainability to the space domain.”

While TechCrunch could not confirm the total headcount prior to these layoffs, True Anomaly had over 100 employees as of December 2023, it told the Denver Business Journal. Nearly 30 people were cut from the workforce, according to a post on LinkedIn from one of the people let go.

Employees started posting on LinkedIn about the layoffs on April 24; according to those messages, people impacted worked in sales, business development and recruiting. At least some interns were abruptly told the summer internship program was cancelled last Friday, on April 19, as well. The internship was set to start on June 1.

The Centennial, Colorado-based startup closed a $100 million financing round last December; at the time, executives said staff had swelled to 107 employees. Earlier this month, True Anomaly CEO Even Rogers told TechCrunch during an interview on the company’s first mission that the company was “well-capitalized.”

True Anomaly hopes to modernize space defense with its Jackal spacecraft and Mosaic software platform for command and control operations. The startup envisions using Jackals on orbit to approach, image, and gather intelligence on other objects in orbit.

True Anomaly launched that first mission, called Mission X, on March 4, though it ended early after the company failed to establish reliable communications with the two spacecraft that were deployed in orbit. The anomaly is hardly slowing them down, however. The startup is pushing to launch at least twice more in the next 12 months, aiming for another launch in October, one person told TechCrunch.

The person was offered an internship, and spoke to TechCrunch on condition of anonymity, saying that a technical recruiter suggested that the internship program had been cancelled because the company didn’t have the human bandwidth to organize and supervise an intern project. The team is also starting work on the $30 million responsive space contract that the company was awarded earlier this month, the person said.


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OpenAI plans new Tokyo office, Tesla lays offs thousands | TechCrunch


It’s only Monday morning, but it already feels like Thursday given the sheer amount of news that’s flowing in.

We have two critical headlines for you today:

  1. OpenAI is planning to open an office in Tokyo and launch a new GPT-4 model for the Japanese language. The U.S., EU and China are all racing for leadership in AI, and OpenAI’s foray into Japan could expand the list of leading blocs and nations.
  2. Tesla is cutting more than 10% of its total global workforce. CEO Elon Musk told employees in an internal email that the cuts were aimed at eliminating role duplications, but the company has been seeing its sales start to slow down, and some concern around waning demand for EVs could be playing a part in the decision to slash costs.

There’s lots more going on: The price ranges for Rubrik’s IPO have been leaked; ShareChat has suffered a valuation beheading haircut and global smartphone sales are picking up again. Hit play to catch up on what’s going to be the talk of Tech Twitter this week:

Equity is TechCrunch’s flagship podcast and airs every Monday, Wednesday and Friday. You can subscribe to us on Apple Podcasts, Overcast, Spotify and all the casts.

You also can follow Equity on X and Threads at @EquityPod.

For the full interview transcript, for those who prefer reading over listening, read on, or check out our full archive of episodes over at Simplecast.




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Apple lays off over 600 employees in California after abandoning electric car project | TechCrunch


Apple is laying off 614 employees in California after abandoning its electric car project. According to the WARN notice posted by the California Employment Development Department, Apple notified the affected employees on March 28 and the changes will go into effect on May 27. Affected employees worked at eight locations in Santa Clara, roughly 45 miles south of San Francisco.

Although the notice doesn’t specify which projects the employees were working on, Bloomberg reports that most of the affected employees were working at buildings related to its canceled car project, while others were working at a facility for its next-generation screen development.

Apple wound down both of these projects toward the end of February. The company started working on its car project, known internally as “Project Titan,” in 2014, and told employees that it was canceling it on February 27. Bloomberg reported at the time that some remaining employees who were working on the car project would be shifted to Apple’s generative AI projects.

Around the same time, Apple reportedly ended efforts to design and develop its own next-generation displays. The displays were supposed to be added to the company’s Apple Watch before potentially going into the company’s other devices.

The layoffs mark Apple’s first major round of job cuts post-pandemic.

Apple did not immediately respond to a request for comment.


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Agility Robotics lays off some staff amid commercialization focus | TechCrunch


Agility Robotics on Thursday confirmed that it has laid off a “small number” of employees. The well-funded Oregon-based firm says the job loss is part of a company-wide focus on commercialization efforts.

“As part of Agility’s ongoing efforts to structure the company for success, we have parted ways with a small number of employees that were not central to core product development and commercialization,” the company wrote in a statement provided to TechCrunch. “At the same time, we are focused on meeting the extraordinary demand for bipedal robots across industrial use cases. That means ramping up production of Digit while continuing to win top-tier global customers, and adding new roles that meet these goals. We believe today’s actions will allow us to focus on the areas that drive productization, commercialization, and production of Digit.”

Agility was ahead of the industrial humanoid curve with its bipedal robot, Digit. The firm was spun out of research conducted at Oregon State University. There’s been no lack of interest in its impressive legged robots over the years. Ford was an early champion, as Agility explored Digit’s last-mile-delivery potential. Ultimately, however, those efforts were placed on the back burner, as the company shifted focus to understaffed warehouses.

There’s been no lack of funding for Agility’s efforts, despite a general slowdown in investments in and adoption of robotic systems, both of which can be seen as corrections following a massive pandemic-fueled boom.

Two years ago this month, the company announced a $150 million Series B. Amazon notably participated in the round by way of its Industrial Innovation Fund. The retail giant subsequently announced that it would pilot Digits as part of its fulfillment center workflow. The pilots have since ended, but neither company has announced next steps.

A number of other humanoid robotics firms have announced their own pilots in recent months, including Figure with BMW and Apptronik with Mercedes. Last month at Modex, Agility showcased updates to Digit’s end effectors designed specifically for automotive manufacturing workflows.

Agility has also made a number of high-profile hires over the past year, including Magic Leap CEO Peggy Johnson joining as chief executive, Fetch CEO Melonee Wise as CTO and former Apple and Ford executive Aindrea Campbell in as COO.

The company’s jobs page currently lists five open roles, largely focused on engineering and manufacturing.


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Exclusive: Hinge Health, a virtual physical therapist, lays off 10% of its workforce


Hinge Health, a nine-year-old company that offers a digital solution to treat chronic musculoskeletal (MSK) conditions, cut approximately 10% of its workforce on Thursday, TechCrunch has exclusively learned.

The company said people who were laid off worked across various functions; according to employees posting on LinkedIn, some were engineers. Before the layoffs, Hinge had more than 1,700 employees, according to a LinkedIn estimate.

“As we continue to reimagine musculoskeletal care, we are also committed to building a long-term sustainable business,” a company spokesperson said in a statement. “To accelerate our path to profitability, speed up decision making, and better focus our investments, we have made the decision to realign our organization. We are incredibly grateful for all our departing team members’ contributions and are focused on supporting them through this transition.”

The layoffs come as the company prepares for an IPO and aims to reach profitability.

The company didn’t comment on the timing for its IPO, but Hinge has said previously that it is not under pressure to hit the public markets this year since it still has $400 million of cash on its balance sheet.

Hinge was last valued at $6.2 billion in October 2021 when it raised a $400 Series E from Tiger Global and Coatue Management. The company has raised a total of $828 million, according to PitchBook data.

The company’s main competitor is General Catalyst and Khosla Ventures-backed Sword Health, which was last valued at $2 billion in November 2021.


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