Last week, Zwift laid off a number of senior employees.
What’s happening: Unrelated to coronavirus, the company is said to be undergoing a significant reorganization to focus on its core business and develop new hardware.
- Zwift is a virtual platform for running and cycling.
- To date, the company has raised $170M.
- Unlike Peloton, Zwift doesn’t sell at-home equipment.
Why it matters: In our previous coverage of Zwift, we noted the company’s intentions: to become a virtual platform, esports contender, and even an Olympic sport — not a hardware provider. Now, those ambitions appear to have evolved.
Looking ahead: Will Zwift introduce an indoor cycling trainer, like Wahoo Fitness, or a full-fledged bike like Peloton or SoulCycle? Or is there an acquisition on the horizon that helps them accelerate into the hardware space? Stay tuned to see how things play out.