Major changes are happening at the world-famous design platform Canva. The company has started massive layoffs during the toughest period in its history. Co-founder and CEO Melanie Perkins officially announced this. She said they are firing 22 percent of employees, around 1,271 people, as part of company restructuring. This decision by a company that worked hard to grow has become a big topic in tech circles.
Canva grew very fast over the last decade, but its revenue growth slowed down in the last two years. The growth rate was 45 percent in 2024, but it dropped to 38 percent by 2025. In August this year, they had to cut revenue forecasts to 20 percent. Rising costs hit profits while serving over 20 million free users. On top of this, new competition in Artificial Intelligence has also strongly affected Canva.