Freshworks cuts 500 jobs as AI writes half its code
Freshworks is letting go of about 500 employees, 11% of its team, as it leans more into artificial intelligence.
CEO Dennis Woodside shared that AI now writes over half the company's code, which means many routine tasks are getting automated and fewer people are needed for manual work.
The company is also merging sales teams and cutting management layers to streamline things, expecting $8 million in one-time costs.
Freshworks revenue up 16%, reinvesting savings
Even with these changes, Freshworks had a solid start to 2026, reporting a 16% jump in revenue but missing profit estimates slightly.
Looking ahead, it's aiming for even higher second-quarter revenue and plans to put cost savings back into its Employee Experience division—including tools like Freshservice—to keep improving how it works.