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Cloudflare said in early May 2026 it will cut more than 1,100 roles — roughly 20% of its global staff — as it restructures for an "agentic AI era." The San Francisco‑based internet infrastructure and cybersecurity firm reported first‑quarter revenue of about $640 million (up 34% year‑on‑year) and forecast Q2 revenue of $664m–$665m, while estimating restructuring charges of $140m–$150m.
Executives told staff internal AI usage has risen more than 600% in the prior three months, with thousands of AI agent sessions running companywide each day.
Cloudflare said affected employees would receive extended severance and benefits, including continued base pay through end‑2026 for some, extended healthcare in the U.S. through the year, and adjusted equity vesting.
Shares fell roughly 16–19% in after‑hours trading.
The company also plans aggressive AI hiring and internships to reshape its workforce for new AI‑driven workflows while maintaining its role as a major web infrastructure provider.
🔗 Based On
International Business Times UKAgentic AI Era: Cloudflare Fires 1,100 as Internal AI Usage Surges 600%
🕰️ The Story So Far: An Evolving Timeline
Monday, May 11, 2026 09:59 UTC
Cloudflare cuts 20% workforce for agentic AI
Friday, May 8, 2026 08:03 UTC
Cloudflare cuts 1,100 jobs, cites AI






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