Energy Tech Unicorn RigUp Latest Startup To Lay Off In Austin

- Advertisement -
- Advertisement -
- Advertisement -
- Advertisement -

RigUp, an Austin-based marketplace for on-demand services and skilled labor in the energy industry, has laid off more than 100 people, according to Austin Inno.

The move comes a little over five months after RigUp raised a $300 million Series D round led by Andreessen Horowitz (a16z) at a reported valuation of $1.9 billion. The financing marked the largest funding round raised by an Austin company in 2019, according to Crunchbase data. Other investors include Founders FundBedrock Capital, U.K.-based Baillie Gifford, Brookfield Growth Partners and Quantum Energy Partners. Since its 2013 inception, RigUp has raised nearly $424 million, according to Crunchbase.

Austin Inno’s Brent Winstrom first broke the news, and reported that: “Several employees suggested on LinkedIn that the layoffs impacted a total of 120 people, including account executives and employees in several other roles. The company declined to cite the exact number of layoffs.” It is estimated that RigUp let go of about one-fourth of its staff.

RigUp’s platform matches contract workers with energy companies operating in the upstream, renewables, midstream and downstream sectors. In October, the company said it expected to exceed $2 billion in gross service volume on its platform in 2019, up more than 200 percent from 2018.

RigUp co-founder and CEO Xuan Yong told Austin Inno that the layoffs were due to a combination of “the economic hit in oil and gas [and] … the impacts of the COVID-19 outbreak.”

He also told Winstrom that he and co-founder and COO Mike Witte were “forgoing their salaries and have shifted to minimum wage payment.”

I’ve reached out to the company for confirmation and will update this article if I get it, along with any further details.

The news comes after a week that saw a number of layoffs by startups either based in Austin or with a significant presence in the Texas capital.

Home of Science
Follow me

- Advertisement -

Discover

Sponsor

Latest

New York begins widespread, random antibody testing, but questions remain about effectiveness and immunity

On Monday, 51 days after the first coronavirus case in New York, the state has begun conducting random antibody testing, administered on consenting grocery...

A Review of Girlfriends by Billie Eilish

Billie Eilish is an excellent actress, and this recent film Girlfriends, with Robert De Niro, is the best film of her career. She seems...

What Are Some Of The Mesothelioma Causes?

The Mesothelioma causes are numerous and in many cases, are hard to determine. For one thing, Mesothelioma causes are determined by the area of...

Disinfectant riff is latest of many Trump science clashes

What President Donald Trump says and does often flies in the face of mainstream science. Coronavirus and the idea of injecting disinfectants is only...

Business Letter Format – The Key to Writing a Successful Business Letter

In order to write a quality business letter, the three most important components are a strong thesis, a solid idea and a clear call...
Home of Science
Follow me