In May 2022, media company Outside Inc., which owns 36 individual publishers, announced the layoff of 15% of its workforce, affecting 85 to 90 employees. This decision is part of the company's transition to a primarily digital platform and restructuring efforts. In this article, we'll discuss the reasons behind the layoffs, their immediate impact, and the future implications for the company, including the elimination of three titles over the next six months.
The layoffs at Outside Inc. were driven by a combination of economic pressures, shifts in industry demands, and internal restructurings. The softening ad market and the company's ambitious pandemic-era expansion contributed to the need for cost-cutting measures. Additionally, Outside Inc. is responding to the increasing demand for digital content by transitioning to a primarily digital company, which necessitated the elimination of three titles: Beta, Peloton, and Oxygen. Chief Executive Robin Thurston confirmed the layoffs and the elimination of these titles as part of the company's restructuring efforts.
The company aims to reduce costs and adapt to changing market conditions. By transitioning to a primarily digital platform and eliminating three titles, Outside is realigning its investments to better suit the current needs of the business. This strategic adjustment may position the company for future success as it focuses on digital content, which is in high demand.
The layoffs at Outside Inc. may signal a broader trend in the media industry, as companies increasingly prioritize digital content over traditional print publications. This shift could lead to further consolidation and restructuring within the industry, as publishers adapt to changing consumer preferences and the softening ad market. As a result, competitors may also need to reevaluate their strategies and investments in order to remain competitive in this evolving landscape. Ultimately, Outside's layoffs and restructuring efforts highlight the ongoing challenges faced by media companies as they navigate the transition to digital platforms and adapt to the dynamic market conditions.
Outside Inc.'s layoffs stem from economic pressures, industry shifts, and restructuring efforts, resulting in the elimination of three titles and a focus on digital content. These changes may impact the company's future standing and signal a broader trend in the media sector. Competitors should take note and adapt accordingly. Outside's actions could potentially lead to further consolidation and strategic adjustments in the industry as companies navigate the digital transition.
