Sequoia-backed FanClash lays off 75% workforce: Report
FanClash, which has raised over $50 million so far, also reportedly shut down its fantasy Web3 gaming platform FanGuild.
Delhi-based fantasy esports platform has reportedly laid off about 100 employees or 75% of its workforce, a year after it raised over $50 million in funding.
The Sequoia-backed startup undertook the layoffs in three rounds and offered two months' salary as a severance package, according to an Inc42 report.
YourStory could not independently verify the report. The copy will be updated with FanClash's queries once we receive a response.
FanClash is backed by investors such as Sequoia Capital, Alpha Wave Global, and Info Edge, according to data from Tracxn.
FanClash had been struggling since the Indian government banned the battle royale game Battlegrounds Mobile India (BGMI) in July last year, which resulted in the downsizing of the company, according to the report.
The startup earned the majority of its revenue from BGMI as the game grew in popularity among its customers from Tier-II cities and beyond. As such, the ban on BGMI was a big blow to FanClash, the report added.
The company also shut down FanGuild, a fantasy Web3 gaming platform, and halted operations of its fan engagement platform FanSpace.
FanClash recently forayed into cricket ahead of the Indian Premier League (IPL).
The layoffs at FanClash come at a time when other fantasy gaming platforms such as , , and are gearing up for the IPL. Co-founder Ashneer Grover has also forayed into the segment with the launch of CrickPe under his new venture Third Unicorn.
Edited by Akanksha Sarma