The e -learning platform «CHEGG» has announced a wide restructuring plan that includes the layoffs of about 22% of its employees, in an attempt to reduce costs and adapt to rapid transformations in the scene of digital education.
This step comes in light of the increasing dependence of students on artificial intelligence tools such as ChatGPT instead of traditional education services online.
“CHEGG” is known for its services in renting textbooks, assisting homework, and private lessons, but it faces a continuous decline in visitors to its location for several months. This is mainly attributed to the appearance of artificial intelligence summaries within the results of Google Search, which keeps users within the search engine itself, as well as competing with artificial intelligence platforms such as ChatGPT, Claude and Gemini, which offer directly and sometimes free of advanced educational tools.
In the context of reducing costs, the company will close its offices in the United States and Canada by the end of this year, and its marketing efforts, product development and administrative jobs will reduce. These procedures are expected to cost the company some expenses in the short term, but it aims to achieve a long -term savings.
“Chegg” had filed a law against Google this year, accusing it that its artificial intelligence content negatively affects the original content providers and reduces the movement of users on platforms like Chegg.
