UPDATE 1-Google-backed ShareChat cuts 20% of workforce

(Provides particulars from memo, assertion)

By Aditya Kalra

BENGALURU, Jan 16 (Reuters) – India’s ShareChat, a brief video-sharing platform backed by Google and Temasek, stated on Monday it let go of round 20% of its staff at a time when startups are dealing with rising strain from traders to chop prices.

“There’s a rising market consensus that the present world financial downturn could be a way more sustained one, and we thus need to, sadly, search extra value financial savings by decreasing our workforce dimension,” ShareChat Chief Government Ankush Sachdeva stated in an inside memo seen by Reuters.

Bengaluru-based ShareChat is valued at $5 billion, has greater than 2,200 staff and is “spreading its workforce globally throughout India, USA and Europe,” based on its web site.

It was not instantly clear if the corporate has up to date its web site for the reason that choice to scale back its workforce.

Buyers have change into extra circumspect of excessive valuations in a turbulent inventory market that has hammered tech shares throughout the globe.

Indian startups raised $24 billion final 12 months, a 3rd lesser than in 2021, and have let go 1000’s of staff in latest months to chop prices and change into worthwhile. (Reporting by Anuran Sadhu in Bengaluru; Writing by Praveen Paramasivam in Chennai; Enhancing by Rashmi Aich and Savio D’Souza)