# Chegg’s Value Drops 98% from $12B to $159M, Lays Off Hundreds! 💼

**URL:** <https://onehack.st/t/chegg-s-value-drops-98-from-12b-to-159m-lays-off-hundreds/295836>\
**Category:** News & Articles\
**Tags:** business, technology, ai\
**Created:** [November 16, 2024, 7:29pm UTC](https://onehack.st/t/chegg-s-value-drops-98-from-12b-to-159m-lays-off-hundreds/295836 "2024-11-16T19:29:09Z")\
**Posts on this page:** 1\
**Page:** 1

<div class="post-metadata">

**Author:** ![TheJoker](https://onehack.st/user_avatar/onehack.st/thejoker/32/22660_2.png) [@TheJoker](https://onehack.st/u/TheJoker)\
**Post date:** [November 16, 2024, 7:29pm UTC](https://onehack.st/t/chegg-s-value-drops-98-from-12b-to-159m-lays-off-hundreds/295836/1 "2024-11-16T19:29:09Z")

</div>

**Summary:**

1. **Massive Decline in Value**  
**Chegg** , once valued at **$12 billion** , has seen its value drop to **$159 million** , leading to **319 layoffs** —21% of its workforce.

2. **Struggling Against AI**  
CEO **Nathan Schultz** blames **Google’s AI search results** and **generative AI chatbots** like **ChatGPT** for the company’s sharp decline, as students now prefer these tools over Chegg’s services.

3. **Financial Losses**  
Chegg reported a loss of **$212 million** in just three months, as it struggles to adapt to the changing educational landscape.

4. **Subscriber Losses**  
Since the launch of **ChatGPT** , Chegg has lost over **500,000 subscribers** , including paying members, significantly hurting its revenue.

5. **Adapting to New Tech**  
Despite setbacks, Chegg is working to integrate **AI** into its platform, aiming to remain relevant in the face of fierce competition from new technologies.

**Read more at:** [SFGate](https://www.sfgate.com/tech/article/bay-area-chegg-layoffs-blames-google-ai-19913481.php)