Bristol-based cybersecurity startup Immersive Labs has cut 10% of jobs globally, citing a focus on becoming “cashflow breakeven” amid the market downturn.
Immersive Labs said the layoffs, which amount to 38 individuals, would help it concentrate on “high-growth opportunities in proven markets”.
“This was a very difficult decision, and one we made only after an extensive evaluation and analysis process,” an Immersive Labs spokesperson told UKTN.
“Like many other tech companies adapting to today’s evolving global economy, we made these changes to position the company for long-term success through accelerating our path to cashflow breakeven and a greater focus on high-growth opportunities in proven markets and segments.”
The spokesperson said that Immersive Labs is working with the laid off staff to “support them through this difficult transition”.
The Immersive Labs job cuts, first reported by The Telegraph, are the latest layoffs to hit the UK tech industry.
Second-hand car retailer Cazoo, insurtech startup Zego and speedy grocery delivery startup Zapp are some of the many companies to axe roles as they look to preserve cash while the global economy slows down.
Data from VC firm NGP Capital, published last month, shows that the startup job market in Europe is down 40% from the beginning of 2022.
Founded in 2017 by James Hadley, a former British intelligence analyst, Immersive Labs has developed a cybersecurity training platform to teach organisations practical IT security skills.
Its software platform tests and upskills employees on their cybersecurity awareness in roles ranging from developers to executives and includes simulated attack scenarios.
Immersive Labs counts the likes of HSBC, Kroll and Citi Bank among its clients and has raised $123m (£92.5m) in funding, with £53m of that coming in a Series C round last June.
Despite the layoffs, Immersive Labs continues to advertise for 32 open roles on its website, with the majority of those based in the US.
“Immersive Labs continues its strategic hiring to support proven markets and segments,” said the Immersive Labs spokesperson. “We are still actively growing our team, as is evidenced by the open roles seen on our website.”
The spokesperson added: “We continue to have an incredible opportunity ahead of us, and will move forward with confidence to our next chapter as a business to deliver value and impact to customers.”