Cloudflare says AI made 1,100 jobs obsolete, even as revenue hit a record high

Cloudflare said it will cut about 20% of its workforce, its first mass layoff, citing AI-driven productivity gains rather than cost reductions.

The company said many roles were made obsolete by internal AI adoption, even as it posted record quarterly revenue of $639.8 million.

Cloudflare also reported a larger net loss, while remaining performance obligations rose 34% year over year.

The move underscores how AI is reshaping staffing across tech, even at companies with strong business growth.