This afternoon, we sent the following email to our global team. One of our core values at Cloudflare is transparency, and we believe it's important that you hear this directly from us because it’s a major moment at Cloudflare.

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Cloudflare is laying off more than 1,100 employees globally, framing the decision as a structural reorganization for the 'agentic AI era' rather than a cost-cutting measure. The company reports a 600% increase in internal AI usage over three months and says it is reimagining every team and role accordingly. Departing employees will receive full base pay through end of 2026, continued US healthcare coverage, and accelerated equity vesting through August 15th, including waived one-year cliffs.

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