Pittsburgh edtech company Niche lays off 7% of staff, remains ‘highly confident’ in business potential

Even startups with promising ideas and a track record of raising considerable amounts of capital aren’t immune to downsizing. That’s the case for Niche, a Strip District-based platform that helps aspiring college students discover schools and neighborhoods that could be right for them.

The edtech company made headlines in recent years for large funding raises, but this week quietly laid off 7% of its total staff, Technical.ly has learned, leaving the firm with about 320 total employees.

A rethinking of strategic priorities — and the resources required to achieve those goals — was the reason for the layoffs, according to a Niche spokesperson, who confirmed the action when asked by a reporter.

“Moments like these are incredibly challenging,” the spokesperson said, “but we believe this reduction in force will better position our company to continue evolving and improving our product for the students, families and school partners that rely on our platform to make important life decisions and meet their enrollment goals.”

Niche isn’t adopting a hiring freeze, and does plan to continue bringing employees on in the future, the spokesperson told Technical.ly. “We remain highly confident in the long-term potential of our business and our strategy.”

The company garnered attention in the Pittsburgh tech ecosystem for its $35M in Series C raise in 2020, following a $6.6 million Series B raise in 2018. Two years ago, finance veteran Tosin Okojie joined as chief financial officer.

Niche CEO and founder Luke Skurman told Technical.ly the company’s mission was to help students find universities where they’d feel at home.

“There were a lot of institutions that could give you a great education,” Skurman said, “but where were you going to fit in and be happy?”

Niche isn’t the first Pittsburgh startup that’s reduced staff in recent years. Argo AI and Fifth Season were forced to shutter their doors completely, and RoadRunner Recycling and Aurora both went through layoffs.

Without providing details, Niche leadership said its laid off employees would receive support to make the transition as smooth as possible.

“The decision to eliminate these positions was made with respect, compassion and fairness,” the spokesperson said, “and we’re offering support to each individual in the way of severance, continuation of benefits and career transition assistance.”

Correction: A previous version of this article indicated Four Growers had shut down, but the robotic harvesting and plant analytics company is still very much in business. We regret the error.