Building for the long run

On January 24th, Gitpod CEO Johannes Landgraf announced a reduction in the company's workforce by 28%, affecting 21 employees. The decision was made due to over-hiring during the market upswing of 2021 and early 2022, as well as strategic changes in product offerings. The CEO apologized for the impact on affected employees and their families. Gitpod aims to transition from a venture-backed company to one focused on capital efficiency, profitability, and independence within three years. Employees leaving the company will receive support such as severance pay, shortened vesting periods, extended exercise windows for equity grants, equipment retention, stipends, and career assistance. The remaining employees are encouraged to provide support during this transition period.