Path Lays-Off 20% Of Staff To “Realign” Company For Path 4.0

Screen Shot 2013-10-16 at 8.19.54 AM

Path — the mobile only social network that I don’t understand, no one at Cult of Mac uses, and which recently started selling stickers to support itself — has laid off 13 staff members, or 20% of its total staff, in what CEO Dave Morin is calling a “realignment of the company.”

In a comment made to Gawker’s Silicon Valley gossip site, Valleywag, A Path representative tried to downplay the firings:

It’s just a realignment of the company. I wouldn’t read anything into it. The business is strong we have 20 million users… We’re working to realign the company to support continued innovation and Path 4.0.

When you only have 65 employees, firing 13 of them sounds like more than just a “realignment,” especially when your social network has seemed increasingly desperate to find any source of revenue. Earlier this year, Path introduced IAP “stickers” to the app, and just last month, they added a new “Path Premium” subscription option for $14.99 a year, which basically gives you access to all Path’s stickers, along with camera filters and other IAP purchases.

Morin is reportedly seeking another round of funding for Path, which would seemingly be what this realignment is really about. Path may have 20 million users, but how many are actually using the app? I’ve had it installed on my iPhone for years, tried it multiple times, and still don’t get it. How many people are like me?

Related
  • tyroga

    Not at all like you. I use Path religiously to stay in touch with my family. Living interstate means I don’t know everything that’s going on. Facebook is too open, Path, especially with the the latest updates is awesome for closed network sharing. I now get to see updates from my family all the time.

    My mum hates using Facebook, it’s too busy. Path she gets easily.

    Maybe Path over-hired. And they are trimming down to appear more attractive to investors, which they will be relying on to stay afloat. No investor wants to jump on board if something like $4 million of your money is going to pay for staff that don’t NEED to be there, and that’s only giving those 13 people very modest wages. Start-ups should be lean.

About the author

John BrownleeJohn Brownlee is a Contributing Editor. He has also written for Wired, Playboy, Boing Boing, Popular Mechanics, VentureBeat, and Gizmodo. He lives in Boston with his wife and two parakeets. You can follow him here on Twitter.

(sorry, you need Javascript to see this e-mail address)| Read more posts by .

Posted in News | Tagged: , , |