Chicago Tech Pioneer Announces Layoffs As It Pushes Toward 'AI-Native' Future

CHICAGO — Groupon plans to cut nearly 25 percent of its workforce as the Chicago tech pioneer restructures around artificial intelligence initiatives, according to reports and company filings.

The online coupon company, which launched in the city in 2008, joins a growing number of tech companies restructuring around artificial intelligence investments and automation initiatives.

Crain's Chicago Business is reporting more cuts may be coming as the initial layoffs will reduce costs by $20 million to $25 million. Groupon, which reported $498 million in revenue last year, said the restructuring is part of an an ongoing plan to "rebuild the company as an AI-native company and better deliver on our mission, serving both customers and merchants."

It was not immediately clear how many Chicago-area employees could be affected.

Last year, billionaire and Groupon co-founder Eric Lefkofskypaid $825 million to buy a one-story home in Glencoe that adjoins property the entrepreneur already owns.

LefKofsky, 56, is best known for founding Tempus AI and co-founding Groupon, Echo Global Logistics and InnerWorkings. In 2014, he paid $19.5 million in cash to buy a 16,304-square-foot mansion and 4.3 -acre lakefront property in Glencoe.

RELATED: Groupon Co-Founder Eric Lefkofsky Purchases Glencoe Home For $8.3M — Report