British tech star Ultraleap to halve workforce in break-up plan | Business News

A British tech champion which uses ultrasound to simulate the sense of touch is halving its workforce and preparing to offload one of its two core divisions.

Sky News has learnt that Ultraleap, which was spun out of Bristol University, informed staff on Wednesday that it was proposing to slash jobs amid shifting priorities at tech giants including Meta, the owner of Facebook, and Snap.

Sources said the company’s plan would involve seeking a buyer for its hand-tracking business, with its ‘haptics’ arm – which uses ultrasound waves to control technology – spun out into a new company that would be owned by Ultraleap’s existing shareholders.

The haptics business would then seek to raise additional external funding, according to the sources.

Ultraleap’s technology has often been compared to that depicted in the Tom Cruise film, Minority Report, with the company raising tens of millions of pounds through a series of funding rounds.

Regarded as a global leader in its field, its investors include the Chinese tech giant Tencent, the private equity firm Mayfair Equity Partners and IP Group, the London-listed backer of university spinout ventures.

An Ultraleap spokesperson said: “Since the company was established in 2019, Ultraleap has gained international recognition as the leading innovator in mid-air haptic and hand tracking technologies.

“During this period, customer needs and behaviours have continually evolved and we need to adapt our strategy to reflect these changes.

“After much consideration, we have made the difficult decision to reshape some of our divisions and reduce the size of our team.

“This decision has not been taken lightly, but it is necessary for us to adapt our business to better serve our market and our customers.

“We deeply appreciate the hard work and dedication of everyone who has contributed to building Ultraleap.”