Vimeo starts layoffs after acquisition by Bending Spoons

Vimeo, the popular video-hosting service, is set to reduce its global workforce, as reported by Business Insider. This decision follows its recent acquisition by the Italian tech company Bending Spoons, which completed the all-cash purchase for $1.38 billion last year. Bending Spoons has confirmed the layoffs, though they have not disclosed the specific number of employees affected. Sources from The Verge indicate that the job cuts will involve a significant portion of Vimeo's workforce. This information was highlighted in a LinkedIn post from a former Vimeo executive who revealed that he, along with many others at the company, has been impacted by the layoffs. Founded in 2004, Vimeo has found it challenging to compete in a market largely dominated by YouTube. In recent years, the platform has increasingly focused on artificial intelligence. In 2023, Vimeo announced the introduction of AI-driven scriptwriting and video editing tools, and in October, they rolled out a new suite of AI-powered tools aimed at enhancing the connection between filmmakers and AI workflows. Bending Spoons has a history of acquiring notable tech companies, including Meetup, Evernote, and WeTransfer, signaling a broader strategy to expand its digital footprint in the tech landscape.