Stack Overflow cuts 28% of its staff due to a strategic shift towards AI
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The developer community site 'Stack Overflow' announces a 28% reduction in its workforce, potentially affecting around 100 employees.
Developer community site Stack Overflow has announced a significant layoff, cutting 28% of its workforce as it focuses on achieving profitability. Stack Overflow's CEO, Prashanth Chandrasekar, mentioned in a blog post that this decision was driven by budget shifts among customers due to macroeconomic pressures. Despite efforts to reduce costs while minimizing the impact on employees, the company found it necessary to reduce its headcount, potentially affecting more than 100 employees.
Stack Overflow, known primarily as a consumer Q&A website, also offers enterprise products for organizations to maintain a company-wide knowledge base. The company's traffic has declined compared to the previous year, partly due to the growing popularity of generative AI in assisting coders with various tasks.
Stack Overflow has been adapting to this trend by seeking payment from AI companies for training data and restricting the posting of AI-generated answers. They have also launched OverflowAI with generative AI-powered search features.