Peloton CEO cuts 500 more jobs to ‘assure the future viability of the business’

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Peloton CEO gives company six months to prove it can survive on its own

) this year, Peloton has been particularly badly hit as pandemic-related lockdowns come to an end. In recent months, many have been able to return the public gyms and other communal forms of exercise that were inaccessible during the pandemic. But its costly exercise equipment is also proving a harder sell in a time of high inflation and general economic uncertainty.This will be a difficult day for approximately 500 global team members whose positions are being eliminated.

I am acutely aware many of those impacted by these changes aren’t just colleagues but are also close friends. I know many of you will feel angry, frustrated, and emotionally drained by today’s news, but please know this is a necessary step if we are going to save Peloton, and we are.The final building block, which I have previously outlined, is the right-sizing of our retail footprint. We lost more than $100M on retail last year which is why we must restructure this segment of the business.

● secured $750 million in financing as well as maintained a liquid cash balance of more than one billion dollars,● shifted our last mile delivery by expanding relationships with our third party partners,● entered into new partnerships with iconic retailers Amazon and Dick’s Sporting Goods, andTogether, we have dramatically restructured Peloton’s business. You should be incredibly proud of what we have accomplished. This has not been easy.

 

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At what point does Google or Apple buy it

I’ll give it 6 weeks

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