Vimeo Layoffs: The $1.38B Deal That Gutted a YouTube Rival

Vimeo Layoffs: YouTube rival slashes global staff; move after $1.38bn deal

In a move that has sent shockwaves through the tech and creative communities, Vimeo layoffs are now a stark reality. The video platform, long hailed as a premium alternative to YouTube for creators and businesses, is undergoing a radical and painful transformation following its acquisition by the European tech firm Bending Spoons.

The news isn’t just about a few job cuts; it’s about a fundamental gutting of the company. Reports and firsthand accounts confirm that a “large portion” of Vimeo’s global workforce has been shown the door, casting serious doubt on the platform’s future direction and its commitment to its core user base.

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The $1.38B Deal That Changed Everything

The story begins in September 2025, when Bending Spoons, the Milan-based company known for apps like Evernote and WeTransfer, announced its intention to acquire Vimeo in an all-cash deal valued at approximately $1.38 billion . The deal was officially closed on November 24, 2025, taking the publicly traded company private .

At the time, the acquisition was framed as a strategic move to consolidate Bending Spoons’ growing portfolio of digital media and productivity tools. However, the speed and severity of the subsequent Vimeo layoffs suggest a far more aggressive and cost-cutting-driven strategy than many had anticipated.

Inside the Vimeo Layoffs: A Former VP’s Account

The human cost of this corporate maneuver became clear through the voice of Dave Brown, Vimeo’s former VP of Global Brand and Creative. In a candid LinkedIn post, Brown revealed he was among those laid off, describing the cuts as affecting “a large portion of the company” .

His statement paints a picture of suddenness and scale:

  • The layoffs were executed globally, impacting teams across various departments.
  • The term “large portion” strongly implies that the cuts went far beyond a simple restructuring, potentially dismantling entire divisions.
  • The timing, so soon after the acquisition closed, indicates this was a pre-planned part of Bending Spoons’ integration strategy.

This is not the first round of cuts for Vimeo in recent memory, but the scale following the Bending Spoons deal appears to be unprecedented, marking a definitive end to the company’s previous era .

Bending Spoons’ Playbook: What’s Their Endgame?

To understand these drastic Vimeo layoffs, one must look at Bending Spoons’ established modus operandi. The company has a well-documented history of acquiring businesses and then making swift, significant staffing changes to streamline operations and improve profitability.

A notable precedent is their 2023 acquisition of Filmic, where they reportedly fired the entire 22-person original team shortly after the deal closed . This pattern suggests that Bending Spoons views its acquisitions primarily through a lens of financial engineering and operational efficiency, often at the expense of the acquired company’s existing culture and talent.

For Vimeo, this likely means a future focused on its most profitable enterprise features, while potentially deprioritizing or even sunsetting services that cater to independent creators—a core part of its original identity.

What This Means for Vimeo Users and Creators

If you’re a Vimeo user, especially a creative professional or a small business relying on its ad-free, high-quality hosting, you should be paying close attention. The mass exodus of staff, particularly from brand, creative, and support teams, can have direct consequences:

  1. Product Innovation May Stall: With a skeleton crew, the development of new features and improvements to the platform could slow to a crawl.
  2. Customer Support Could Suffer: Fewer support staff almost always translates to longer wait times and less personalized help.
  3. A Shift in Platform Focus: Expect a stronger push towards B2B and enterprise sales, which may leave individual creators feeling like second-class citizens on a platform they helped build.

Many in the community are now asking, “What happened to Vimeo?” The platform that championed artistic freedom and professional-grade tools may be transitioning into a more utilitarian, profit-focused service under its new ownership. For creators exploring alternatives, it might be wise to start investigating other platforms or backup strategies.

Conclusion: An Uncertain Future for a Video Pioneer

The Vimeo layoffs are more than just a corporate restructuring; they represent a potential identity crisis for a platform that once stood as a beacon for quality and creativity in the online video space. While the $1.38 billion price tag signifies Vimeo’s value as an asset, the immediate and severe workforce reduction casts a long shadow over its future.

Bending Spoons has a clear playbook, but whether it can successfully manage a complex, community-driven platform like Vimeo without alienating its core user base remains a huge question mark. For now, the message to Vimeo’s loyal community is one of uncertainty and caution. The golden age of the platform may be over, replaced by a new, more austere chapter driven by a different set of priorities.

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