Snyk: Lays Off 198 Workers

Boston-based cybersecurity startup Snyk in late October unveiled a second round of layoffs this year, making it the latest in a string of security vendors to shed employees.

Snyk CEO Peter McKay, in a blog post published Monday, told its staff that the company is restructuring and reducing its global workforce by 198 employees, or about 14 percent of its total workforce.

McKay in the blog told his fellow “Snykers,” as Snyk employees are known, that the layoffs, which follow an earlier round of layoffs in July, are the result of “significant market shifts” happening despite the company’s continued growth. He also wrote that the company is still on a path towards growth.

“In June, I shared that we needed to adapt to an evolved mindset balancing continued top line growth with profitability and committed to becoming free cash flow positive in 2024. Our business continues to grow aggressively, more than doubling in size each year with currently over 2,300 customers, but we now must operate even more efficiently in order for Snyk to effectively withstand the continued headwinds facing the global economy,” he wrote.

Snyk had raised $849.5 million in total funding from investors that included Sands Capital and Tiger Global Management and had a valuation of $8.6 billion as of January 2022, according to PitchBook.