Key Points
- Xperi is cutting 250 jobs as part of a broader restructuring of its operation.
- The company anticipates one-off charges of $16 million to $18 million, primarily associated with severance packages.
- Xperi says annualized savings from the restructuring will fall between $30 million and $35 million.
Xperi, the global technology company that owns brands like TiVo and DTS, is eliminating 250 jobs over the next few months as part of a broader restructuring of its operations.
The announcement was made Wednesday as part of the company’s third quarter (Q3) earnings report, through which Xperi affirmed that the layoffs will be implemented on a rolling basis between now and the first half of 2026.
Xperi did not say which business units would be affected by the pink slips, though The Desk can confirm that some roles in its advertising technology business unit were among those affected.
The restructuring plan was approved on November 1, about two weeks after the company affirmed it had stopped manufacturing its flagship TiVo digital video recorders (DVRs) that were popular with broadcast and cable TV viewers in the early 2000s.
In recent years, Xperi has shifted its focus away from TiVo DVRs and a nascent TiVo-branded Android TV dongle in favor of developing its own connected TV (CTV) platform called TiVo OS. The operating system first launched in Europe and recently became available in the United States through smart TVs made by third parties.
The decision comes as other developers like Roku and Vizio experienced a post-pandemic surge in advertising revenue as marketers shifted their TV budgets away from broadcast and cable toward higher-performing, more-personalized online video platforms.
Xperi has yet to counter the same, though its platform business is growing: On Wednesday, the company said nearly 5 million users are actively engaged with its ad tech platform TiVo One, which is layered into devices running TiVo OS. The figure was around 1 million users higher compared to figures released by TiVo just two months ago.
With its focus shifting toward connected platform advertising, Xperi says it needs to better streamline operations for the future. The company expects to incur one-time costs of $16 million to $18 million associated largely with employee-related severance packages and the payout of due benefits, though executives say Xperi stands to save $30 million to $35 million annually once the restructuring is complete.
