Gloo Cuts Staff in Strategic Restructuring as AI Company Reduces Executive Salaries

Christian technology platform Gloo announced workforce reductions on January 29, 2026, as part of a broader restructuring initiative that also includes executive salary cuts. The Denver-based company, which provides digital tools and resources for churches and faith-based organizations, did not disclose the exact number of employees affected by the layoffs. The restructuring comes as the company navigates shifting market dynamics in the faith technology sector and realigns its operations around artificial intelligence capabilities.

Context of the Decision

The workforce reduction reflects Gloo's strategic pivot toward AI-driven solutions for church management and community engagement. The company has been investing heavily in machine learning technologies to enhance its platform offerings, including automated content curation, personalized member engagement tools, and predictive analytics for church growth. This technological shift has created redundancies in traditional software development and customer support roles.

Executive leadership took voluntary salary reductions alongside the staff cuts, demonstrating shared responsibility during the transition period. The restructuring aims to streamline operations while preserving core product development and customer success functions. Industry analysts note that faith-based technology companies face unique challenges in balancing innovation with the conservative adoption patterns typical of religious organizations.

The timing of the layoffs coincides with broader economic pressures affecting the technology sector, including rising interest rates and reduced venture capital funding. Many companies in the Christian technology space have experienced slower growth as churches remain cautious about new technology investments following the pandemic-driven digital transformation period.

Impact on Operations

The layoffs primarily affected Gloo's marketing, business development, and legacy product support teams based in the company's Denver headquarters. Engineering roles focused on the company's core church management platform and newly developed AI tools remained largely intact. Customer-facing positions, including account management and technical support, saw selective reductions as the company implements more automated support systems.

Gloo's product development timeline for several planned features may experience delays as teams consolidate responsibilities. The company's flagship products, including its church communication platform and resource marketplace, continue operating without disruption. Regional sales territories previously managed by dedicated representatives will now be handled by remaining team members with expanded geographic coverage.

The restructuring affects approximately 15% of Gloo's workforce, though the company maintains its presence in key markets including Denver, Colorado Springs, and remote positions across the United States. International expansion plans for the Canadian and European markets remain on hold pending the completion of the restructuring process.

Company Financial Background

Founded in 2014, Gloo has raised over $47 million in funding across multiple rounds, with its most recent Series B funding completed in 2023. The company serves more than 12,000 churches and faith-based organizations across North America, providing tools for communication, volunteer management, and digital engagement.

Revenue growth slowed in 2025 as church technology budgets tightened following several years of rapid digital adoption during the pandemic. Many religious organizations completed their initial technology implementations and shifted focus toward optimizing existing systems rather than purchasing new platforms. This market maturation forced Gloo to reassess its growth projections and operational structure.

The company's investor base includes prominent venture capital firms with experience in both technology and mission-driven organizations. Gloo's leadership emphasized that the restructuring positions the company for sustainable long-term growth rather than indicating financial distress.

Industry Outlook

The Christian technology sector faces consolidation pressure as churches become more selective about technology vendors. Larger players like Planning Center and Subsplash continue expanding their market share through acquisition and feature development. Smaller specialized platforms struggle to compete with comprehensive suite offerings that provide multiple functions within single platforms.

Artificial intelligence adoption in religious organizations remains nascent but shows promising growth potential. Churches express interest in AI-powered content creation, automated administrative tasks, and data-driven insights for community engagement. Companies successfully integrating AI capabilities while maintaining theological sensitivity position themselves advantageously for future growth.

Conclusion

Gloo's workforce reduction represents a strategic recalibration rather than a retreat from the faith technology market. The company's focus on AI integration and operational efficiency reflects broader industry trends toward sophisticated, automated solutions for religious organizations. While the layoffs create short-term challenges, Gloo's established customer base and technological investments provide a foundation for renewed growth as the faith technology market stabilizes and matures.