Dutch digital navigation firm TomTom has announced a major restructuring plan that will result in the layoff of approximately 300 employees, roughly 10% of its global workforce, as the company pivots toward artificial intelligence (AI) to drive its future innovations.
In a statement released Monday, the Amsterdam-based company said the decision to “realign its organisation” was necessary as it seeks to stem financial losses and remain competitive in a rapidly evolving industry.
“These organisational changes affect certain roles in the units working on our application layer, and in our sales and support functions,” the company revealed.
TomTom, once a leader in standalone GPS navigation devices, has seen demand decline sharply in recent years as smartphone apps like Google Maps and Apple Maps dominate consumer navigation.
The company, which currently employs around 3,600 people globally, said its focus now will shift toward integrating AI across its mapping and navigation products, streamlining operations, and positioning itself for a more software-centric future.
TomTom has not disclosed which regions or offices will be most affected, but said support will be provided to impacted employees during the transition.