Peloton CEO Resigns as Fitness Equipment Demand Decreases Amid Pandemic Era End

As the pandemic era comes to an end, Peloton is facing a decrease in demand for its connected fitness equipment. In response, CEO Barry McCarthy has announced his resignation, effective immediately. McCarthy expressed that the decision to cut 15% of the workforce was necessary to align spending with revenue and put Peloton on the right path.

Despite the challenges, McCarthy commended the lead team at Peloton and expressed confidence in their abilities to steer the company in the right direction. The announcement of McCarthy’s departure led to an 8% increase in Peloton’s stock before the markets opened, as the company also revealed plans to scale back its retail presence due to weak demand.

Following McCarthy’s departure, Karen Boone and Chris Bruzzo will serve as interim co-CEOs while Jay Hoag has been named chairperson of the board as Peloton begins its search for a new CEO. The company saw a surge in sales during the pandemic but has struggled as the world reopened. Despite efforts to revamp its business model and partnerships with big brands, Peloton has faced continued losses and a decline in revenues.

McCarthy, who previously worked at Netflix and Spotify, took on the role of CEO in February 2022 with a goal of transforming Peloton into a subscription-based business. His departure marks a new chapter for Peloton as it seeks to navigate