Voice chat application Clubhouse has become one of the most popular social media platforms in recent years. However, as the impact of the COVID-19 epidemic waned, the number of users of the application began to decline rapidly. And apparently this is causing Clubhouse to downsize its workforce. The company announced that it laid off more than half of its employees.
Clubhouse co-founders Paul Davison and Rohan Seth have released a statement regarding the layoffs. In the statement, it was stated that Clubhouse needed to “reset” in the post-COVID-19 era and they needed a smaller and product-focused team to develop a new product vision. The name of this vision was announced as “Clubhouse 2.0”.
It is not yet known what innovations Clubhouse 2.0 will bring. However, the company says it is working to make the app more engaging and useful. Voice chat platforms such as Twitter Spaces, Spotify Greenroom and Facebook Live Audio Rooms, rivals of Clubhouse, continue to increase their market share.
Clubhouse layoffs are a common occurrence in the social media industry. Although many applications attract great attention at first, they cannot maintain the number of users over time. This, in turn, leads to lower incomes and fewer employees.