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Coinbase CEO Brian Armstrong announces layoffs for AI efficiency and crypto market reset at 2026 press conference.
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Coinbase cuts 14% of staff for AI and market reset

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Coinbase announced a restructuring plan on May 5, 2026, cutting about 700 employees, or 14% of its workforce. CEO Brian Armstrong attributed the move to cryptocurrency market volatility and artificial intelligence-driven productivity gains. The changes aim to create a leaner, AI-native organization ahead of Q1 earnings on May 7.

Build a Rocket Boy, developer of the struggling open-world shooter MindsEye, has laid off roughly 170 of its 250 staff—its third round of redundancies in the past year—leaving around 80 employees, sources tell Kotaku. The cuts follow two prior rounds, the March 2026 closure of its French studio, and come amid poor reception to a recent Blacklist update.

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Marvel Snap developer Second Dinner laid off several team members around May 1, 2026, including community manager Griffin Bennett and designer Glenn Jones. Co-founder Ben Brode addressed fan concerns on Discord, praising the departed staff and affirming the studio's commitment to the game and its March roadmap.

Embracer-owned Eidos Montreal has laid off 124 employees due to changing project needs. Studio head David Anfossi, a 19-year veteran, is also departing. The studio described the cuts as necessary to focus efforts where it can be most effective.

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Chet Faliszek, a prolific former writer at Valve, has publicly criticized Epic Games founder Tim Sweeney over recent layoffs of more than 1,000 staff. Faliszek questioned why employees should work hard at the company, pointing to the absence of shareholder pressure and the shutdown of several Fortnite modes. He contrasted Epic's approach with Valve's emphasis on employee agency.

OP Labs, the developer behind the Optimism Ethereum layer-2 network, has laid off 20 employees as part of a restructuring effort. CEO Jing Wang stated that the move aims to streamline operations and prioritize core activities, not due to financial issues. The company emphasized its strong financial position with years of runway ahead.

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Australian software firm Atlassian announced layoffs of about 1,600 employees, or 10% of its workforce, to invest in artificial intelligence and enterprise sales. The restructuring aims to rebalance resources for the AI era in teamwork. Company shares rose nearly 2% in extended trading after the news.

 

 

 

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