ExtraHop laid off an undisclosed number of employees on Wednesday, GeekWire has learned, becoming the latest tech company to trim staff amid the ongoing economic crisis.
“On Wednesday, April 22, ExtraHop carried out a reduction in force, adjusting our staff back to the level at which we exited 2019,” ExtraHop CEO Arif Kareem said in a statement. “This was an extraordinarily difficult decision, but COVID-19 has had an unexpected and extraordinary impact on the global economy. Right now, we’re focused on ensuring a compassionate and respectful transition for all of our employees, and ensuring that we maintain the highest levels of service for our customers.”
The Seattle-based security company ended 2019 with more than 500 employees.
ExtraHop uses machine learning to help companies detect and eliminate threats on their networks. The company came off 2019 with $150 million bookings, its second consecutive year of more than 40% bookings growth. The startup had hinted at a 2020 IPO in the past.
ExtraHop is ranked No. 18 on the GeekWire 200 list of top Pacific Northwest startups.
As revenue dries up due to the COVID-19 pandemic, many companies are laying off staff to help curb expenses. Nearly 300 tech startups have cut 29,000-plus employees since March 11. Seattle-based cosmetic review startup RealSelf slashed headcount on Tuesday.
Major tech groups representing companies such as Microsoft, AWS, Verizon, and others sent a letter this week demanding that Congress earmark stimulus money to help state and local governments defend against cyberattacks.
The Wall Street Journal reported earlier this month that cybersecurity roles were being preserved, but that could change depending on the economy.
Source: Geek Wire