Curated and analyzed by the JobGoneToAI team. Original reporting by entrepreneur.com.
Livspace Cuts 1,000 Jobs in AI-Driven Restructuring

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Key Takeaway
Livspace has laid off around 1,000 employees, nearly 12% of its workforce, as part of a strategic reallocation of resources driven by AI integration. The company aims to transform into an AI-native organization amid limited external funding and ongoing profitability concerns.
From the Original Report
Livspace Layoffs: Around 1,000 Employees Affected Amid AI-Driven Reorganisation The company described the job cuts not as reactive cost-cutting but as a strategic reallocation of resources. By Entrepreneur Staff Feb 21, 2026 Share Copy You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
vecteezy Livspace has laid off around 1,000 employees, nearly 12% of its workforce, as part of a phased internal reorganisation aimed at transforming the company into an AI-native organisation. The move comes amid limited external funding over the past four years and continuing questions about the company's path to profitability.
While the company stated that about 12% of staff would be affected, a report by Moneycontrol suggested the figure could be closer to 25%. This marks the latest workforce reduction at Livspace, which previously cut about 2% of jobs in March 2023 and laid off roughly 450 employees in May 2020 during the Covid-19 lockdowns.
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