Etsy announced a 12% workforce reduction, cutting roughly 220 roles primarily in product and engineering, on the same day it reported Q2 revenue of $668.3m (beating analyst forecasts) and authorized a $2bn share buyback. CEO Kruti Patel Goyal framed the cuts as a strategic move to accelerate execution rather than cost-cutting, with reinvestment aimed at machine learning and AI capabilities. The reported bottom line swung to a loss due to the sale of Depop to eBay at a loss after buying it for $1.6bn in 2021. The move fits a broader 2026 pattern of profitable tech companies shedding staff while redirecting spending toward AI.
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A growth layoff, not a rescueThe catch under the beatThe people behind the percentage66 Impressions