Cloudflare, the San Francisco-based internet security and performance company, announced plans to cut approximately 1,100 jobs globally as it reorganizes around artificial intelligence, according to a memo sent to employees on Thursday, May 7, 2026. The layoffs represent about 10% of the company's workforce.
Co-founders Matthew Prince and Michelle Zatlyn informed staff that the restructuring is aimed at shifting resources toward AI-driven products and services. The company, known for its content delivery network and cybersecurity solutions, has been investing heavily in AI to enhance its offerings.
Affected employees will receive severance packages and support services, the memo stated. Cloudflare expects to complete the reorganization by the end of the second quarter of 2026.
This move follows a broader trend in the tech industry, where companies are reallocating resources to AI amid rapid advancements in the field. Cloudflare's stock saw a slight decline in after-hours trading following the announcement.
