Digital ad firm GumGum just raised $22 million, and now it’s laying off 25% of its staff
- The contextual-advertising firm GumGum laid off 25% of employees across its sports and advertising businesses this week, citing the impact of the coronavirus.
- The company is one of a handful of firms that provides software to help marketers adapt to privacy laws and the phaseout of third-party cookies.
- GumGum closed $22 million in Series D funding in February, and CEO Phil Schraeder said the layoffs were intended to help the firm weather a volatile ad market.
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Santa Monica, California-based adtech firm GumGum laid off 25% of employees this week, which CEO Phil Schraeder said were a direct result of dropped revenue from the coronavirus.
GumGum runs two businesses: an advertising business and a sports arm. The former uses artificial intelligence and software to match contextually relevant ads with content. The sports business sells computer-vision software that brands and sports teams use to analyze sports sponsorships.
Schraeder said the layoffs hit both businesses. He made the announcements during an all-hands meeting on Monday and posted a blog about the layoffs.
GumGum, which was founded 12 years ago, raised $22 million in Series D funding in February, and its overall funding totals $58.8 million. GumGum …continued .
[Source: Business Insider]