California marijuana marketing giant Weedmaps announced Wednesday it laid off 25% of its workforce, blaming the slow rollout of recreational MJ markets in California and Massachusetts and a dwindling pool of outdoors funding.
The job cuts – disclosed by Weedmaps CEO Chris Beals through Twitter – quantity to additional than 100 individuals. They have an effect on the company’s news division and other departments.
A supply familiar with Weedmaps’ internal decisionmaking said more than 50% of the company’s remaining workforce will be focused on engineering, solution improvement and design and style to assistance its software program and compliance portfolios.
But the supply close to the firm, who requested anonymity, stated the job cuts have been not in response to that predicament.The job cuts come at a important time for Weedmaps, which has pledged to get rid of ads from its on the web platform for unlicensed marijuana shops and delivery solutions, especially these in California. The move is anticipated to outcome in the loss of income for Weedmaps.
In his written on the web statement, Beals stated the Irvine-primarily based firm produced the layoffs for the following causes:
- New cannabis markets such as Massachusetts have been slow to create.
- 75% of California’s cities and counties are not permitting cannabis retail sales.
- Tech and cannabis capital markets “have skilled tightening” this year, limiting the capability to leverage outdoors capital to fuel development.
Conversely, Beals also wrote that the firm has improved its consumer base by additional than 50% year-to-date and effectively launched other offerings across a number of markets.
Published: October 16, 2019