Teads Moves to Cut Jobs Following Merger with Outbrain

Teads, a significant player in the adtech arena, has informed its workforce about upcoming layoffs impacting its international branches.

An official spokesperson representing Teads verified that the downsizing will impact fewer than 10% of their employees. Further specifics were not disclosed. As of last November, Teads employed around 1,800 individuals.

This development occurs after approximately ten months since Outbrain concluded its acquisition of Teads, a deal valued at $900 million. Outbrain, distinguished for its content recommendation systems, assimilated Teads and subsequently adopted its name.

With the merger's finalization, David Kostman transitioned from his role as CEO of Outbrain to leading Teads. During the conclusion of the deal in February, Kostman highlighted that the merger would fill 'a significant gap in the digital advertising sector.' The aim was to meld Teads' strengths in video with Outbrain's marketing prowess to craft a comprehensive, outcome-driven platform that spans the advertising journey.

Nevertheless, challenges persist.

Teads has seen its stock plummet by over 90% this year. Additionally, the company failed to meet its financial forecasts in the third quarter, leading to a warning about future profits.

During a financial report in November, Kostman shed light on difficulties stemming from the integration process and broader market fluctuations across regions and industries.

In a strategic move to revitalize its business, Teads has brought in adtech expert Mollie Spilman as their newest chief commercial officer.

This story is evolving. Stay updated for forthcoming information.