Sam Altman-Backed Startup Humane Lays Off 4% of its Employees

Sam Altman-backed firm Humane made waves recently when it announced a strategic reorganization that included a 4% employment decrease. The action, which is being referred to as a cost-cutting measure, is being taken at a critical moment as the firm prepares to introduce its ground-breaking wearable, the Ai Pin, which is an AI-powered, screenless wearable that is positioned as a substitute for conventional cellphones.

Credits: Latestly

The Layoffs and Cost-Cutting Strategy:

Humane justified the choice to let go of 10 workers, or 4% of the staff, as an essential step in realigning the company’s resources with its changing growth strategy. CEO Bethany Bongiorno stressed in a LinkedIn post that these layoffs were part of a larger organizational overhaul aimed at setting up the business for the next stage of growth. This action is also consistent with the leadership’s previous announcement to staff members regarding planned budget cuts for the next year.

Leadership Changes and Transition of CTO:

Amidst the reorganization, Humane declared modifications to its leadership team. Patrick Gates, the founding CTO, will take on an advisory role so he can spend more time with his family. This change in leadership positions demonstrates the company’s organizational culture’s significant emphasis on striking a balance between work and personal obligations.

Promotion and Reorganization:

Humane disclosed the appointment of new leaders in crucial divisions, such as hardware, software, and human resources, concurrently with the layoffs. The company’s goal to enhance its core competencies and optimize its structure for effectiveness and flexibility is demonstrated by this strategic reorganization. Having a lean and focused team is essential for navigating the competitive landscape as it gets ready to launch the Ai Pin.

The AI Pin and March 2024 Launch:

Humane is adamant about releasing the AI pin in spite of the internal alterations. At $699, the wearable gadget is marketed as a ground-breaking invention and the first wearable computer driven by artificial intelligence. In order to provide consumers with an alternative to conventional cell phones, the business plans to begin distributing the Ai Pin in March 2024. There’s no doubt that both customers and the tech world will be closely following this debut.

Sam Altman’s Involvement:

Sam Altman’s involvement adds a layer of significance to Humane’s journey. Altman, known for his leadership at OpenAI and his association with various tech ventures, brings a wealth of experience and influence to the startup. The success or challenges faced by Humane in the coming months could have ripple effects, impacting Altman’s reputation and the perception of startups backed by high-profile individuals.

Possible Impact of the Move:

Market Perception: The layoffs and restructuring at Humane may influence how the market perceives the company. Investors and consumers will be closely monitoring how these changes align with the company’s strategic vision and product roadmap.

Employee Morale: One important consideration is the effect on staff morale. Changes and layoffs can make the remaining employees apprehensive. Retaining a positive internal culture requires leadership to communicate clearly about the rationale for these actions and the company’s future goals.

Product Launch Success: The success of the Ai Pin’s launch becomes even more critical in the backdrop of these organizational changes. A successful product launch could overshadow the layoffs and restructuring, positioning Humane as an innovative player in the wearable tech space.

Competitive Landscape: As Humane navigates these internal changes, its competitors in the tech industry might seize the opportunity to gain an edge. The success of the Ai Pin will be pivotal in establishing Humane as a serious contender in the market.


In conclusion, Humane’s recent restructuring and layoffs represent a significant moment in the company’s evolution. As it prepares to bring the Ai Pin to market, the tech community and industry watchers will be keenly observing how these internal changes shape the company’s trajectory. The success of the Ai Pin launch will likely determine the impact of these moves on Humane’s position in the competitive tech landscape.