Canva has announced a significant restructuring that will impact 1,271 employees, representing 22% of its total workforce. The design platform is implementing these changes, which include redundancies, role modifications, and relocation requests, to adapt to evolving technological demands and slowing growth.
August 2024
Canva lowered its 2026 revenue growth forecast from 30% to 20%. The company cited higher-than-expected costs associated with delivering new artificial intelligence features as a primary factor for the adjustment.
November 3, 2024
Competitor Figma introduced new artificial intelligence capabilities, allowing for code generation based on prototype interactions. This development occurred amid a broader industry trend of tech companies adjusting operations to prioritize AI investment.
November 4, 2024
Chief Executive Officer Melanie Perkins informed employees of the restructuring in a company memo. Perkins stated that the company experienced its first growth slowdown in a decade. She noted that the organization had become fragmented and required a return to smaller, empowered teams. The company plans to merge its Product, Growth, and Platform divisions into a single unit, reduce management layers, and eliminate narrow specializations. Additionally, Sydney will serve as the central hub for product teams, and hybrid employees will be required to work from an office two to three days per week starting in January.
Current Status
Canva is moving to consolidate its operational structure while continuing to expand its AI-driven design tools. The company, which claims over 250 million monthly users, is attempting to transition beyond its traditional template-based model.
Why it matters: This restructuring highlights the pressure tech firms face to balance high research and development costs for AI against slowing revenue growth. For professionals and businesses in the Middle East and globally who rely on Canva’s design tools, these changes signal a strategic shift toward more integrated, AI-centric product development.