SAN FRANCISCO (KRON) -- A San Francisco-based artificial intelligence company that calls itself "the industry-leading AI-powered customer service platform built for collaboration" has laid off an unspecified number of employees. Dan O'Connell, the CEO of AI startup Front announced the layoffs in a LinkedIn post Tuesday.
"Today is an incredibly painful day at Front," O Connell wrote. "We've made the difficult decision to reduce the size of our team, and that means saying goodbye to a number of Fronteers. These are all great people who have put their time, energy, and care into building Front."
"Many of them have been with us for years, and they've shaped not only our product but our culture, and ultimately, the company we are today. I'm deeply grateful for everything they've done."
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Front, according to its LinkedIn page, brings "support, sales, operations, and AI agents together to resolve requests and strengthen customer relationships." The company is headquartered in San Francisco and has between 500 and 1,000 employees.
O'Connell said the decision to cut jobs was made to "build a more sustainable business, focus our resources on what matters most to our customers, and invest in the next generation of Front."
"I believe it's the right decision for our future, but that doesn't make it any less painful for the people leaving," the CEO added. "I take responsibility for this."
O'Connell took a supportive tone toward the employees who were being let go, saying "For those who are hiring, please know that there's so much talent in this group. Please reach out to them. I'd love to see them find great opportunities, and I'm happy to help make connections."
The CEO did not specify how many people were being let go or when the layoffs would go into effect. The layoffs at Front come amid broader job cuts across the tech industry with eBay and Netflix both cutting jobs this month and Microsoft offering buyouts to a quarter of its global workforce.
There are also jitters in the overall economy about AI. The same week AI giant Anthropic filed paperwork for its anticipated blockbuster IPO, one leading economist questioned whether the technology had delivered any productivity or profit margin gains for anyone outside of the Mag 7 tech stocks.