Eigen Labs cuts 25% of staff to refocus on EigenCloud

Eigen Labs has laid off 29 employees — around 25% of its workforce — to realign resources around its EigenCloud product. Despite recently securing a $70 million investment from a16z, the company said the decision was not financially driven.

CEO Sreeram Kannan stated that the restructuring aims to sharpen focus on key user scenarios and streamline teams for long-term sustainability. Impacted employees received accelerated token vesting, three months’ base salary, and career support.