Palo Alto, California-based Luminar Technologies, a developer of vision-based lidar and machine perception technologies, primarily for atonomous self-driving cars, has announced a restructuring that will focus on an "asset light" business model that retains R&D activities while outsourcing manufacturing to third-party companies.
The restructuring will impact 20% of the company's workforce, approximately 147 employees.
CEO Austin Russell notes, “We stand at the crossroads of two realities: the core of our business has never been stronger across technology, product, industrialization, and commercialization; yet at the same time, the capital markets perception of our company has never been more challenging.
Now that we’ve made the necessary billion-dollar R&D investments from the chip level up and successfully launched with [the] start of production as a standardized technology, the business model and cost structure that enabled us to achieve this leadership position no longer fit the needs of the company.
Many of these team members have been on our journey with us for years, which is why this is so difficult. We have also made the decision to roll off the majority of our contractors who supported us at the start of production. We have informed the affected employees regarding the roles that are no longer required at this juncture. These kinds of decisions are never easy, and we’re taking steps to provide significant support for our exiting employees. We know these are the necessary steps to best position Luminar and maximize success throughout the decade.”
The company will rely on Taiwanese electronics manufacturer TPK for “substantial dedicated industrialization resources.”
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?
