Masterclass CEO David Rosier Said that the decision was taken “to adapt to the deteriorating macro environment and achieve rapid self-stability”.
The layoffs affect about 120 people across all teams from its 600-strong workforce.
“It was the toughest decision ever since we launched 7 years ago, as our team put their heart and soul into the masterclass. They are some of the most creative, curious, caring and dedicated people in the world, Rogier tweeted late Wednesday.
He added that this very difficult move will “strengthen our position both financially and strategically, enabling us to serve our members, staff and coaches for many years to come”.
The edtech company, which was last valued at $2.75 billion, has pledged to provide healthcare to affected employees by the end of the year, reports TechCrunch.
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Masterclasses provide distance learning with aspirational content (entertainment) available from celebrities such as Serena Williams and Issa Rae.
MasterClass raised over $460 million from investors including IVP, NEA and Owl Ventures.
Even former chess world champion Garry Kasparov launched a “masterclass for chess lovers” platform.
MasterClass charges people a $180 annual subscription fee to access its library of content.
In India, the edtech platform has so far laid off over 3,600 employees. Overall, around 10,000 workers have lost their jobs in the Indian startup ecosystem in the last 2-3 months.