Pinterest, the well - known social platform dedicated to image sharing, has declared its intention to lay off 15% of its workforce. The layoff process is anticipated to wrap up by the end of September, and it will impact roughly 700 employees.

This strategic decision is primarily aimed at giving top priority to the development of AI - powered products. The company also aims to accelerate the integration of AI technologies across its operations and reallocate resources more effectively.

In the past, Pinterest has already rolled out the AI assistant named 'Pinterest Assistant'. Moreover, it has set plans in motion to test AI - driven personalized board features. The CEO of the company pointed out that open - source AI models play a crucial role in cost reduction.

Regarding the financial implications, this round of layoffs is projected to generate pre - tax restructuring expenses ranging from $35 million to $45 million, which is approximately equivalent to RMB 244 million to RMB 313 million.