ShareChat Lays Off 15% Staff, Know Why

Short video streaming app Moj's parent company Mohalla Tech laid off 15% staff. According to the reports, more than 200 employees will lose their jobs after the company's decision. Earlier in January, the Tech firm sacked around 500 employees in view of external macro factors that impact the cost and capital for the company.

Confirming the major sacking, a company spokesperson said "ShareChat, today undertook a strategic restructuring as part of its annual planning for the year 2024. The decision reflects the company's commitment to streamlining its cost base and achieving profitability within the next 4-6 quarters."

"In alignment with our strategic vision, the company undertook a comprehensive restructuring effort to streamline operations, enhance productivity, and position the company for sustainable growth. As a result, the organization has moved to a flatter organizational structure and prioritized product initiatives that resulted in a reduction in team sizes by roughly 15%," he added.

Company co-founders Bhanu Pratap Singh and Farid Ahsan had stepped down from their posts after the company laid off 500 workers in January.

What Is ShareChat?

ShareChat is a short video streaming mobile application in 15 languages. It is an Indian social networking service platform founded by Ankush Sachdeva, Bhanu Pratap Singh, and Farid Ahsan in 2015. The Bangalore-based Mohalla Tech raised $255 million from Google, Times Group, and Temasek collectively making it a $5 billion value firm.

in June last year. However, the tech firm is aiming to raise another $50 million at a lower valuation, according to reports.

According to a report published by TechCrunch, the new money may come at a valuation of less than $1.5 billion.