Mozilla announces 70 job cuts due to slow commercialisation of innovative products

Mozilla laid off about 70 employees today,media outlet TechCrunch reported. In an internal memo, Mozilla Chairman and Interim Ceo Mitchell Baker said the decision to lay off staff was due to the company’s slow commercialization of innovative products. Further restructuring is under way within the company, mainly affecting staff in the UK and France, and the number of actual job cuts is likely to increase. Mozilla Corporation employs 1,000 people worldwide, according to official figures disclosed in 2018.

Mozilla announces 70 job cuts due to slow commercialisation of innovative products

“As you may recall, we expect to benefit from new subscriptions and channels beyond search from 2019 to 2020,” the memo read. But in fact this did not meet our expectations. As we move forward with our projects in 2019, we underestimated the time it takes to build and deliver innovative products. Based on the current situation and the pace of innovation we are in 2019, we have decided to take a more conservative approach to forecasting revenue in 2020. “

Mr Baker said those who were laid off would receive “generous severance pay” and re-employment support. She also noted that the leadership team had considered closing the Mozilla Innovation Fund to determine whether it was needed to develop new products. Mozilla plans to invest $43 million to create new products.

“Looking ahead, we know that we must take bold steps to develop and ensure that our mission is strong and enduring,” Baker said. Mozilla has strong expectations for future earnings, but we have taken a more conservative approach to finance. This will allow us to adjust as needed to address market threats to the health of the Internet and to defend the privacy and representation of our users. “

Mozilla announces 70 job cuts due to slow commercialisation of innovative products