GitLab Cuts 14% Workforce, Exits 22 Countries Amid AI Transformation on June 4

According to GitLab, the software development platform cut approximately 350 employees (14% of workforce) and withdrew from 22 countries on June 4 to accelerate its AI transformation and organizational restructuring. The company expects to incur between $30–35 million in severance and retention costs, with approximately $19 million recognized in Q2 (ending July 31).

Despite the restructuring, GitLab delivered stronger-than-expected Q1 results with revenue of $264 million, up 23% year-over-year, and raised its full-year fiscal 2027 (ending January 2027) guidance to $1.112–1.118 billion. The company also launched GitLab Duo Agent Platform to capitalize on enterprise AI demand.