Now there will be layoffs in news aggregator Dailyhunt, 5 percent of the employees will be fired

Layoff News: news aggregator dailyhunt (Dailyhunt) and parent company of short-video platform Josh VerSe Innovation Pvt. Ltd. showed the way out to 5 percent of the employees in its mid-year performance year review to streamline the cost cutting and operation. On the other hand, it has also announced to cut 11 percent of the salary of the employees whose annual salary is 10 lakh or more. Ver Se K co-founder Umang Bedi said that keeping in mind the economic environment, we have evaluated our strategic priorities. Only after that such decisions have been taken.

Raised $ 805 million in April

In April, the company raised $805 million at a $5 billion valuation in a round led by CPP Investments, which invested $425 million. New investors Ontario Teachers' Pension Plan Board, Sumeru Ventures and Luxor Capital as well as existing backers Sofina Group and Baillie Gifford also participated in the round. During the round, Chinese investor ByteDance sold its entire stake to two Canadian investors, including the Ontario Teachers' Pension Plan Board and the Canada Pension and Plan Investment Board (CPPIB).

Salary will be cut for those with an annual package of 10 lakhs

Apart from laying off around 150 employees, the company also announced pay cuts to reduce costs. Bedi said that an 11 per cent deduction has been implemented from the salary of employees with an annual salary of Rs 10 lakh or more. The company employs around 3,000 professionals on its platform. VerSe Innovation, which was founded in 2007, launched Josh in 2020 after the government banned China's ByteDance-operated short video platform TikTok, citing national security and user safety concerns.

Company's profit and revenue

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In FY2022, VerSe reported a net loss of Rs 2556 crore, as against Rs 822 crore in FY21. However, the company's revenue increased to Rs 1,095 crore in the financial year ended March 31, 2021, as against Rs 727 crore. Apart from Dailyhunt and Josh, Versace Innovations also operates the hyperlocal video app PublicVibe. However, its primary source of income is Dailyhunt. In 2021, VerSe acquired the homegrown social networking app GolBol. Earlier, the company had acquired Bengaluru-based Cognirel Technologies Pvt Ltd to enhance its artificial intelligence capabilities and video-sharing app Weebler and enhance the creator offering on Josh.