Audiotech startup Pocket FM lets go of around 200 writers; Here’s why

Bengaluru-based audiotech startup Pocket FM has let go of some of the writers for its US-based shows as it looks to optimize costs and allocate resources more effectively within its current projects.

Although the startup did not disclose the exact number of writers affected, a Moneycontrol report said that the move has impacted approximately 200 contractual writers.

Reasons behind the layoffs

A spokesperson from Pocket FM explained the rationale behind the layoffs: "We have recently had to part ways with some of our writers for US-based audio series to align our resources with our current show pipeline. These changes are typical in the content creation industry and do not reflect on the company's overall health." 

The spokesperson further said that the company is in a "strong growth phase with robust revenue signals", and is accelerating hiring efforts across regions.

What does Pocket FM do?

Founded in 2018 by IIT-Kharagpur graduates Rohan Nayak, Nishanth Srinivas, and Prateek Dixit, Pocket FM provides a variety of long-form audio content, including audio shows, stories, novels, and podcasts.

In March, the startup raised $103 million in Series D funding at a valuation of $750 million. 

In April, It onboarded Umesh Bude as the Senior Vice President of Engineering, Rohan Gandhi as the Vice President of Analytics, and Rupesh Gopal as the Vice President of Engineering.

Pocket FM's market presence

Pocket FM boasts a global listener base of over 130 million users, with an average daily listening time of over 115 minutes.

The startup claims to have over 100,000 hours of content on its online platform, featuring more than 2,000 exclusive audio series and over 400,000 episodes. 

As of December 2023, the company reported an annualized revenue rate (ARR) of $150 million worldwide, with more than $100 million coming from the United States alone. 

The platform offers content in different languages, including English, Hindi, Tamil, Telugu, Malayalam, Bengali, Kannada, and Marathi. Users can access a few episodes for free every 24 hours, but to unlock additional episodes, they must purchase virtual coins.