Cloudflare to cut 20% jobs, quarterly revenue forecast falls short

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May 7 : Cloud services firm Cloudflare forecast quarterly revenue below estimates on Thursday, and said it is laying off about 20 per cent, or more than 1,100, employees globally.

Shares of the company fell more than 13 per cent in extended trading.

The company expects second-quarter revenue between $664.0 and $665.0 million, compared with estimates of $665.3 million, according to data compiled by LSEG.

The layoffs reflect a shift to an AI-driven operating model, CEO Matthew Prince and chief financial officer Michelle Zatlyn said in a statement.

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