Daily Tech Snippet: Monday, June 6

• WeWork Is Cutting About 7% of Staff: WeWork, the world’s largest shared-workspace startup, plans to cut about 7 percent of its staff and has instituted a temporary pause on hiring, according to e-mails obtained by Bloomberg. The cutbacks come just three months after the New York company said it raised a round of $430 million led by Chinese investors. Managers were instructed to begin dismissals this week, said one of the e-mails. The startup, which lets members rent desks in an open office, ballooned from about 230 employees early last year to more than 1,000 today, according to research firm Mattermark. WeWork said it hired 175 people in May and expects to add about 500 employees by the end of the year. The company said it expects to lift the pause on hiring as soon as next week. The funding round in March valued WeWork at $16 billion with a focus on financing expansion throughout Asia, people familiar with the matter said at the time. WeWork's valuation is more than those of major landlords such as SL Green Realty Corp., which has a market value of $10.6 billion. Boston Properties Inc., the largest U.S. publicly traded office landlord, is valued at $19.6 billion.

• Nest CEO Tony Fadell is out: Tony Fadell, the CEO and co-founder of Nest, is leaving the company two years after his connected device firm was acquired by Google. Fadell announced his departure in a tweet on Friday, capping off a rocky tenure under the search giant, which reorganized itself as Alphabet in August and placed Fadell at the helm of his independent company. Marwan Fawaz, a former Motorola executive and adviser to the home security company ADT, is joining as Nest CEO. The move comes after a series of public dramas and critical departures at Nest, which has failed to meet initial expectations since Google acquired it for over $3 billion two years ago. As we reported, Nest brought in around $340 million in revenue last year — short of the goals set before the company acquired the videocamera startup Dropcam. That acquisition, by all measures, went terribly: Most of the Dropcam team departed, largely due to the frustrations of working under Fadell. Dropcam CEO Greg Duffy voiced those frustrations very publicly, writing that he regretted selling his company to Nest and Google. Fadell will stay on as an adviser to Larry Page, CEO of Google parent Alphabet, the company said in a statement. Several sources have said that a major issue for Nest was the integration of corporate cultures. Fadell, a former Apple executive, brought several others from that company and tried to retain Apple's unique, tenacious culture. That often clashed with Google's more open, experimental ethos, a fact that many Googlers noted often in many forums.