Google cuts jobs at Waze as it continues to merge mapping products

Google is chopping jobs at its Waze mapping service because it merges the unit with its personal map merchandise.

In an electronic mail to staff on Tuesday, Chris Phillips, who oversees Google’s maps division known as Geo, stated the corporate is shifting its Waze technique to incorporate Google adverts fairly than utilizing a separate adverts system. That transfer will lead to layoffs, in keeping with the e-mail, which was considered by CNBC.

“We have decided to transition Waze’s ads monetization to be managed by the Global Business Organization (GBO), similar to Google Maps,” Phillips wrote. “Unfortunately, this will result in a reduction of Waze Ads monetization-focused roles in sales, marketing, operations and analytics.”

The firm hopes to “create a more scalable and optimized Waze Ads product,” Phillips wrote, including that it’ll “wind down the current Waze Ads product while we focus on building new Waze Ads powered by Google Ads.”

Phillips stated the corporate can be notifying advertisers and companions of the change on Wednesday, and advised staff that his crew will reply questions and share its plans for subsequent steps at “our next Waze Town Hall” on July 11.

The electronic mail did not say what number of jobs can be eradicated, and Google did not instantly reply to request for remark. The Waze unit has greater than 500 staff, in keeping with inside documentation considered by CNBC. Google acquired Waze for about $1.3 billion in 2013.

Following a yr of dramatically decelerating income development, Google mother or father Alphabet introduced in January that it was shedding 12,000 staff, or 6% of its workforce. The firm has additionally eradicated some initiatives, downsized others and stated it is specializing in turning into extra environment friendly.

Since December, Google has been consolidating Waze with its personal Geo unit, which oversees maps. As part of the shakeup, the corporate introduced then-CEO Neha Parikh can be stepping down.

The Waze app makes use of a crowdsourcing approach that permits it to find out the quickest driving route from one location to a different, with the latest site visitors info. Waze has roughly 140 million lively customers.

“Decisions like these are incredibly difficult,” Phillips wrote. “Each one of these Wazers contributed to Waze’s success and culture, and I want to express my gratitude and respect for what they have achieved.”

A Google spokesperson did not instantly present a remark.

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