CrowdStrike to Cut 500 Jobs as It Doubles Down on Artificial Intelligence

CrowdStrike to Cut 500 Jobs as It Doubles Down on Artificial Intelligence
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CrowdStrike is laying off 500 employees, citing AI advancements as the key reason behind its broader business realignment strategy.

CrowdStrike, the leading cybersecurity software company, has announced it will be letting go of 500 employees—approximately 5 percent of its global workforce—as it pivots deeper into artificial intelligence-driven operations. The company disclosed the layoffs on Wednesday via a regulatory filing, marking a significant move in the tech sector’s ongoing recalibration.

In a memo included in the filing, CEO George Kurtz highlighted that artificial intelligence has become central to CrowdStrike's strategic vision. “AI has always been foundational to how we operate,” Kurtz stated. “AI flattens our hiring curve and helps us innovate from idea to product faster. It streamlines go-to-market, improves customer outcomes, and drives efficiencies across both the front and back office. AI is a force multiplier throughout the business.

While the job cuts represent a sizable reduction, the company emphasised that it is not pulling back across the board. CrowdStrike intends to continue hiring in key strategic areas, especially within its customer success and go-to-market teams, as it works toward an ambitious goal of achieving $10 billion in annual recurring revenue.

The layoffs are scheduled to be completed by the end of the fiscal second quarter and are expected to cost the company between $36 million and $53 million in related charges. Kurtz acknowledged the personal toll of the decision in the memo, stating: “We will begin meeting with affected employees over the next day and will complete these conversations across regions as quickly as possible, in accordance with local laws and consultation requirements.” He positioned the restructuring as part of a long-term growth strategy, adding: “We are making deliberate decisions to scale with discipline while continuing to deliver value to our customers.”

CrowdStrike’s announcement comes amid a wave of tech industry layoffs, many of which are similarly tied to AI integration and economic uncertainty. Earlier this year, Meta cut over 100 jobs in its Reality Labs division, aiming to streamline operations between its VR software and hardware teams. Intel also revealed plans to lay off more than 21,000 employees, around 20 percent of its workforce, as part of a major restructuring effort under its new leadership.

For CrowdStrike, the decision to restructure signals a focused effort to stay competitive in a rapidly evolving cybersecurity landscape. As AI becomes more deeply embedded in enterprise functions, companies like CrowdStrike are adjusting their workforces accordingly—prioritizing agility, innovation, and technological edge over sheer size.

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