Patreon is reducing its workforce by 20%, which equates to 93 employees, as announced by CEO Jack Conte to staff on Thursday. In a memorandum that the company made public, Conte expressed that while Patreon’s primary operations remain strong, the platform must adapt to market shifts and modify its cost framework to maintain stability, hence the need for these “painful” but essential layoffs.

Conte stated that “AI has drastically altered the technology sector,” and the rate of change has “never been more rapid.” Nevertheless, he emphasized that Patreon is not implementing these layoffs to replace employees with AI.

“To clarify the role of AI in today’s decision: we are not enacting the above changes because we think AI can replace human workers,” he noted. “The more we have embraced these new tools, the more evident it has become that they cannot match the creativity, judgment, attention to detail, or craftsmanship that our team possesses abundantly, nor do they satisfy the human connection that we all value deeply. That’s my personal viewpoint, but more significantly, it forms the basis of Patreon’s strategy: our product vision and business are fundamentally based on the worth of human creativity and connection.”

He added, “AI has indeed transformed the tech landscape, including our modes of work, product development, communication, and beyond. This does influence our operations and organizational structure.”

Alongside the reduction in workforce, Conte stated that Patreon is also reorganizing its operational structure, “flattening” its hierarchy and realigning teams with its primary objectives. Those affected will receive a minimum of 16 weeks of severance pay, plus an extra week for each year of service, healthcare coverage until year-end, and a $1,500 allowance to replace their last company-issued laptop.

Last week, Patreon revealed its collaboration with internet infrastructure provider Cloudflare to proactively prevent AI bots from accessing creators’ work without consent to train their AI models. The company indicated that it needed to bolster its defenses in this area as AI scraping methods have evolved. This action comes as online publishers and creators face challenges from AI companies utilizing their work for training AI models.

The most recent layoffs at Patreon mark the largest reduction since a 17% staff cut in 2022. In that previous round, Patreon also shuttered its offices in Berlin and Dublin.