Autodesk is set to eliminate 1,350 jobs, accounting for 9% of its workforce, as it restructures operations to prioritize direct billing and self-service sales. This move follows a wave of layoffs across the tech sector.
Restructuring to Optimize Sales Strategy
The company is adapting to a business model that emphasizes subscription-based offerings and multi-year contracts. CEO Andrew Anagnost stated that this transformation will enhance customer engagement and drive efficiency. As part of the restructuring, Autodesk is also reducing facility costs, though no office closures are planned.
Layoffs Across the Tech Industry
Several other tech giants are also cutting jobs. In January, Meta announced plans to lay off 5% of its workforce, while Workday recently disclosed an 8.5% reduction. Google has initiated job cuts in its cloud and HR divisions. Additionally, HP revealed in a regulatory filing that it will reduce headcount by 1,000 to 2,000 employees, representing less than 4% of its total workforce.
Financial Performance and Market Outlook
Autodesk’s latest earnings report surpassed Wall Street expectations. The company posted $2.29 per share in adjusted earnings on $1.64 billion in revenue, reflecting a 12% year-over-year increase. Analysts had forecasted $2.14 per share and $1.63 billion in revenue.
For the upcoming fiscal quarter, Autodesk projects adjusted earnings between $2.14 and $2.17 per share, with revenue ranging from $1.6 billion to $1.61 billion. Market estimates had been slightly lower. The company anticipates full-year 2026 earnings to land between $9.34 and $9.67 per share, with revenue forecasted between $6.895 billion and $6.965 billion.
Strategic Shifts Amid Economic Challenges
The changes reflect Autodesk’s broader effort to remain competitive in an evolving market that is increasingly driven by cloud computing and AI. By restructuring its go-to-market strategy, the company aims to enhance operational efficiency, maintain its leadership position, and align with shifting customer preferences.
As tech firms continue to adjust workforce strategies amid economic uncertainty, further restructurings and cost-cutting measures could follow across the sector.
