Pinterest said it will cut close to 15% of its workforce, reallocating resources to artificial intelligence-focused roles and strategy. The reduction affects little fewer than 780 employees and will coincide with the closure of smaller office spaces tied to acquisitions.
Shares fell nearly 10% as investors questioned the AI pivot’s revenue potential, reflecting competitive pressure from TikTok and Meta-owned Facebook and Instagram. Analysts described the layoffs as defensive, noting the company has yet to show a clear path to AI-driven growth.
Pinterest has launched AI products including Pinterest Assistant, for personalized shopping recommendations, and Performance+, an automated advertising suite. The company expects pre-tax restructuring charges of $35 million to $45 million and aims to complete the restructuring by the end of its third quarter.
The cuts mirror a broader tech trend: more than 123,000 employees were laid off across 269 companies in 2025, including Autodesk, which cited AI investment as part of its 7% workforce reduction.
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