TechCrunch reports that Yahoo has laid off approximately 25% of its cybersecurity team, known as "The Paranoids," over the past year. This represents 40 to 50 employees out of a total of 200, according to sources speaking to TechCrunch on condition of anonymity.
These layoffs are part of broader changes within Yahoo's technology unit, as announced by CTO Valeri Liborski in an email to employees. The email, obtained by TechCrunch, stated that the decision was difficult but necessary.
Red Team Eliminated, Outsourced
The cuts extend to the elimination of The Paranoids' red team, responsible for simulating cyberattacks to identify vulnerabilities. This decision, along with at least three prior rounds of layoffs within the cybersecurity team this year, has raised concerns about Yahoo's security posture.
Yahoo confirmed the layoffs and the outsourcing of the red team, stating that these changes reflect the "maturity" of their security program and allow for a focus on "critical security priorities."
"Yahoo’s security program has matured significantly...As part of this evolution, we’ve made strategic adjustments, including transitioning offensive security operations to an outsourced model.” - Yahoo spokesperson Brenden Lee
Broader Layoff Context
These cybersecurity layoffs are part of a larger pattern of job cuts at Yahoo. Last year, the company laid off over 1,600 employees (approximately 20% of its workforce), a move that CEO Jim Lanzone stated would improve profitability.