Joystiq
Joystiq News
Peloton grew massively during the COVID-19 pandemic, but now that things are opening up, it has to maintain growth. Now, the company is shaking things up by replacing its CEO, overhauling the board and laying off around 20 percent of its corporate workforce, according to .
CEO and co-founder John Foley is stepping down as CEO to become executive chairman and will be replaced by former Spotify COO Barry McCarthy, the company told the WSJ. McCarthy will reportedly bring his understanding of content-driven subscription models to Peloton. "I have always thought there has to be a better CEO for Peloton than me," said Foley said. "Barry is more perfectly suited than anybody I could’ve imagined." On top of that, the company is cutting around 2,800 corporate positions.
On top of its financial struggles, Peloton has been hit by bad press over , unpaid employees and even in recent TV shows. With the value of the company tumbling from a peak of $50 billion to around $8 billion last week, it has been a subject of from the likes of Amazon, Nike and even Apple.
Peloton will discuss its plans to deal with the crisis in more detail when it reveals its second quarter results later today. It's expected to cut $800 million in costs and stop development of its $400 million Ohio factory, among other changes. In January, the company $1.14 billion of preliminary Q2 revenue and said it had 2.77 million subscribers. Its earnings call is at 5:00 PM ET.
Console Bang News!
CEO and co-founder John Foley is stepping down as CEO to become executive chairman and will be replaced by former Spotify COO Barry McCarthy, the company told the WSJ. McCarthy will reportedly bring his understanding of content-driven subscription models to Peloton. "I have always thought there has to be a better CEO for Peloton than me," said Foley said. "Barry is more perfectly suited than anybody I could’ve imagined." On top of that, the company is cutting around 2,800 corporate positions.
On top of its financial struggles, Peloton has been hit by bad press over , unpaid employees and even in recent TV shows. With the value of the company tumbling from a peak of $50 billion to around $8 billion last week, it has been a subject of from the likes of Amazon, Nike and even Apple.
Peloton will discuss its plans to deal with the crisis in more detail when it reveals its second quarter results later today. It's expected to cut $800 million in costs and stop development of its $400 million Ohio factory, among other changes. In January, the company $1.14 billion of preliminary Q2 revenue and said it had 2.77 million subscribers. Its earnings call is at 5:00 PM ET.
Console Bang News!