In today’s Digest, we cover TripleLift laying off staff amid cuts, xAI seeking a $200bn valuation in its next fundraise, and Hearst taking over the Dallas Morning News after 140 years.

TripleLift lays off staff amid cuts

TripleLift has implemented a round of significant layoffs, as the digital advertising industry prepares itself for a leaner second half of the year. The creative supply-side platform reportedly reduced its workforce across multiple departments and geographies late last week. While the company has not disclosed the total number of redundancies, Digiday however suggests the cuts may number in the mid-to-high double digits. Prior to the layoffs, TripleLift listed “400+” employees on its website. 

The reduction-in-force comes as macroeconomic pressures, compounded by industry-wide caution and downgraded ad spend forecasts, continue to reshape staffing strategies across the sector. WPP recently cut its global ad spend outlook by 1.7%, citing market uncertainty and geopolitical tensions, including concerns over escalating US trade policy under the Trump administration. 

According to sources speaking to Digiday, who requested anonymity, TripleLift's actions align with a broader trend of “stealth” or “quiet” layoffs being implemented across ad tech. The move is viewed internally as a strategic realignment to maintain financial resilience through the second half of 2025.

xAI seeks USD$200bn valuation in next fundraise

Elon Musk’s artificial intelligence venture, xAI, is reportedly preparing for a fresh round of fundraising that could value the company at up to USD$200bn (£156bn), more than 10 times its previous valuation just over a year ago.

Discussions are underway for a third major share raise in less than two months. Formal fundraising could begin as early as next month. xAI raised USD$10bn (£7.8bn) in July through a combination of loans and cash investments, and secured an additional USD$300m (£234m) via a secondary share sale in June. If successful, the deal would mark a significant jump from the USD$18bn (£14bn) set during its series B round in May 2024, further cementing xAI’s position as one of the fastest-growing AI firms globally.

Three sources indicated that xAI is targeting a valuation between USD$170bn (£132.6bn) and USD$200bn, though they noted discussions remain preliminary and subject to change.

Saudi Arabia’s Public Investment Fund, PIF, is expected to take a prominent role in the deal. Through its stake in Kingdom Holding Company, which has already invested USD$800m (£624) in xAI, PIF already maintains an indirect interest in the firm.

Hearst takes over Dallas Morning News after 140 years

Hearst has agreed to acquire The Dallas Morning News in a USD$75m (£58.5m) deal, marking the end of more than a century of family-controlled ownership and further consolidating the media group’s footprint across Texas. The acquisition sees the publicly traded newspaper transition into the hands of privately held Hearst. 

The deal, which will be completed at the end of this quarter or earlier next, gives Hearst control of major titles in all four of Texas’s largest markets, adding The Dallas Morning News to its existing portfolio of the Houston Chronicle, San Antonio Express-News, and Austin American-Statesman.

Staff reductions are expected on the business side as The Dallas Morning News integrates with Hearst operations, though the 157-strong newsroom is likely to remain largely unaffected aside from production.

Ken Doctor, a former newspaper industry analyst and local news entrepreneur, called the deal a positive signal for the industry, “To have a state like Texas with one owner for those four markets is really something,” he noted. “Hearst has held on to their newspaper business and is reinvesting. That’s really contrarian and a good sign for the industry. And they do great journalism.”