Peloton CEO Barry McCarthy Steps Down as Company Cuts Workforce and Costs

Published: 02 May 2024 at 14:05

Business

Peloton CEO Barry McCarthy is leaving his role as the company cuts about 15% of its workforce, eliminating 400 jobs to save $200 million. McCarthy will become a strategic advisor through the end of the year. The stock surged over 7% in premarket trading, down 90% from its 2020 highs due to failed attempts to regain pandemic-era success. McCarthy's strategies, like selling bikes with college colors and a redesigned fitness app, faced setbacks. Despite challenges, partnerships with retailers like Dicks Sporting Goods and Amazon, along with Lululemon for apparel sales, have been successful.

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Peloton Interactive (Wikipedia)

Peloton Interactive, Inc. is an American exercise equipment and media company based in New York City. The company's products are stationary bicycles, treadmills, and indoor rowers equipped with Internet-connected touch screens that stream live and on-demand fitness classes through a subscription service. The equipment includes built-in sensors that track metrics such as power output, providing users with real-time feedback on their performance and leaderboard rankings to compete with other users.Peloton charges a US$44 monthly membership fee to access classes and additional features on their exercise equipment, or $12.99 for users only accessing the content via app or website.