Peloton Lays Off 11% of Staff Amid Shift in Strategy

Peloton announced on Friday that it is cutting around 11 percent of its staff, primarily affecting engineers working on technology and enterprise-related efforts. This move comes just a few months after the company launched its AI hardware, marking another significant shift in strategy as the fitness giant tries to adapt to changing market conditions. The latest round of layoffs follows an initial reduction of six percent in workforce last August, with Peloton expressing intentions to continue cost-cutting measures globally through 2026. The company’s goal is to achieve at least $100 million in annual spending reductions by the end of the fiscal year. Peloton’s new hardware lineup, including the Cross Training Series, was launched last October and features enhanced AI capabilities through its IQ technology. The latest additions include a range of exercise equipment, such as bikes and treadmills, designed to support users’ fitness journeys.