
CHENNAI: VerSe Innovation, the parent company of popular content platforms such as Dailyhunt and Josh, has announced a strategic reduction in its workforce by approximately 350 roles this month. This move is part of a broader transformation initiative aimed at 'aligning the company's operational structure with its long-term business goals, profitability targets, and technological evolution'.
This marks the company’s first major downsizing since its last round of layoffs two and a half years ago, which affected 150 employees. The current restructuring comes amidst a pivotal phase of growth and consolidation, centered around deep integration of artificial intelligence (AI) across the organisation.
According to a company spokesperson, the ongoing restructuring is a result of a "well thought through comprehensive plan" focused on accelerating AI investments, streamlining operations and aligning organisational design with long-term strategic goals.
VerSe Innovation is betting heavily on AI to power the next phase of its growth. CEO Umang Bedi, in a recent interview with Entrackr, highlighted how AI has been woven into the company’s content ecosystem—fueling large-scale recommendations, enhancing generative content capabilities, and driving better accessibility and monetisation.
This shift includes automation of several manual processes, aiming to increase operational efficiency and reduce costs as the company pushes toward profitability by the end of the current fiscal year.
VerSe reported a notable improvement in its financial health in FY24 --
its EBITDA burn reduced by 51%, from ₹1,448 crore in FY23 to ₹710 crore in FY24. Total revenue reached ₹1,261 crore, aided by disciplined cost-cutting, particularly in service and marketing expenses.
Looking ahead, the company is forecasting more than 75% revenue growth in FY25, far outpacing the broader Indian digital advertising market, which is projected to grow by 10–15%. This optimism is rooted in VerSe’s ongoing investments in AI-led platforms and new monetisation avenues.
VerSe Innovation’s layoff of 350 employees is not an isolated event—it reflects a growing global trend where companies are restructuring their workforces as part of strategic shifts toward artificial intelligence (AI) and automation.
Across industries—from tech giants like Google, Amazon, and IBM to traditional sectors such as banking, media, and manufacturing—organisations are recalibrating their labor models to capitalise on the operational efficiencies and scalability offered by AI.
According to recent reports from consulting firms such as McKinsey and PwC, AI is expected to automate or augment a significant portion of repetitive and rule-based tasks, fundamentally reshaping roles across functions like customer support, marketing, HR, logistics, and software development.