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It's layoff 'season' at Phil Libin's Airtime | TechCrunch

Jun 04, 2025 - techcrunch.com
Airtime, a video startup founded by Phil Libin, has laid off 25 employees from its 58-person team, marking a significant change in its workforce. The company, which operates on a "seasonal" employment structure, typically reviews staff every six months to decide who will return for the next season. However, the recent layoffs were unexpected for many employees, as they were informed of their termination earlier than anticipated. The layoffs were attributed to a shift in the company's focus and challenges with product adoption and user retention. Despite raising nearly $235 million in venture funding, Airtime has struggled with high user acquisition costs and has not yet made a significant push into AI.

The startup, initially launched during the COVID-19 pandemic, offers tools like "AirTime Creator" and "AirTime Camera" for enhancing online meetings. Airtime's parent company, All Turtles, has made acquisitions to bolster its product offerings, but key figures like Ankith Harathi and John Keck have since departed. The layoffs were reportedly decided during leadership meetings at Nobu in Palo Alto, and the company has not disclosed details about severance packages. Airtime's founder, Phil Libin, has been less involved in day-to-day operations, focusing instead on his restaurant venture in Arkansas.

Key takeaways:

  • Airtime, founded by Phil Libin, laid off 25 employees from its 58-person team, which was unexpected for staff who were told no cuts were planned.
  • The startup operates on a "seasonal" employment structure, where staff are evaluated every six months, but recent layoffs occurred before the expected end of the season.
  • Layoffs were attributed to Airtime's changing focus and challenges with product adoption and user acquisition costs.
  • Airtime has raised nearly $235 million in venture funding and has made acquisitions to enhance its product offerings, but has not yet made a significant AI push.
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