Android creator Andy Rubin’s startup Essential cuts about 30% of employees

The cuts come several months after the company cancelled plans for a second version of its smartphone and paused development of a home smart device that would compete with Amazon and Google

By: MARK GURMAN
| Updated on: Oct 18 2018, 12:03 IST
The reductions affect staff in the company’s hardware, marketing, and sales divisions
The reductions affect staff in the company’s hardware, marketing, and sales divisions (Bloomberg)

Essential Products Inc., the startup founded by Android creator Andy Rubin, has cut about 30% of its employees, according to people familiar with the matter.

The reductions affect staff in the company's hardware, marketing, and sales divisions, the people said. They asked not to be identified discussing private moves. The company has about 120 employees, according to its website.

You may be interested in

MobilesTablets Laptops
28% OFF
Samsung Galaxy S23 Ultra 5G
  • Green
  • 12 GB RAM
  • 256 GB Storage
Google Pixel 8 Pro
  • Obsidian
  • 12 GB RAM
  • 128 GB Storage
Vivo X100 Pro 5G
  • Asteroid Black
  • 16 GB RAM
  • 512 GB Storage
Apple iPhone 15 Plus
  • Black
  • 6 GB RAM
  • 128 GB Storage

The cuts come several months after the company cancelled plans for a second version of its smartphone and paused development of a home smart device that would compete with Amazon.com Inc. and Google.

Also read
Looking for a smartphone? To check mobile finder click here.

'This has been a difficult decision to make. We are very sorry for the impact on our colleagues who are leaving the company and are doing everything we can to help them with their future careers,' an Essential spokeswoman wrote in an email. 'We are confident that our sharpened product focus will help us deliver a truly game changing consumer product.'

Rubin launched a smartphone last year that pioneered the now-familiar all-screen look used by Apple Inc.'s iPhone and the latest Google Pixel phones. But the Essential Phone struggled to sell due to its relatively high price and software bugs.

The Palo Alto, California-based company is backed by about $300 million, making it Silicon Valley's most ambitious consumer-electronics startup in years. The company spent about $100 million developing its first products, and Rubin put Essential up for sale, Bloomberg News reported earlier this year.

The company is now pinning its future on a different phone with a small screen that will try to mimic the user and automatically respond to messages on their behalf.

Catch all the Latest Tech News, Mobile News, Laptop News, Gaming news, Wearables News , How To News, also keep up with us on Whatsapp channel,Twitter, Facebook, Google News, and Instagram. For our latest videos, subscribe to our YouTube channel.

First Published Date: 18 Oct, 12:03 IST
NEXT ARTICLE BEGINS