Restructuring projected to reduce engineering costs by $750,000 annually
Current lead AI engineer to join the AI engineering team at the holding company level upon closing of the proposed business combination
Utilization of internal and dedicated outsourced engineering talent expected to significantly increase the speed of product development
BOULDER, Colo., Aug. 25, 2025 (GLOBE NEWSWIRE) -- Auddia Inc. (NASDAQ:AUUD) (NASDAQ:AUUDW) ("Auddia" or the "Company"), an AI first technology company that has built a proprietary AI platform for audio identification and classification to reinvent how consumers engage with audio, today announced a restructuring of its engineering team aimed at significantly reducing costs while positioning the Company for its AI native holding company structure upon closing of the previously announced business combination.
Pablo Calderon, Auddia's head of engineering and lead AI model developer, will join the AI team being built at the holding company level to service the AI engineering needs of its proposed subsidiaries, to include Auddia.
"As AI continues to make inroads into everything, we saw an opportunity to not only reduce costs significantly, but to restructure our engineering team to better align with the focus of the AI-native holding company we are positioning to build post business combination," said John Mahoney, Auddia CFO. "By retaining key AI talent while outsourcing less specialized engineering requirements, we believe the Company is better positioned to deliver on our AI mission while gaining the ability to build out multiple product development projects in parallel."
As part of the restructuring, Peter Shoebridge, Auddia CTO, will be leaving the Company at the end of August.
"I want to thank Peter for his long term dedication to the Auddia mission and to his many contributions to our proprietary technology stack over the years," said Jeff Thramann, Auddia CEO. "I want to further thank Peter for his final gesture of professionalism in leading his team to work diligently with our new outsourced providers to complete what has been a smooth and seamless transition."
The Company recently announced that in conjunction with the planned AI native holding company restructuring under review, the business model of Auddia is changing from a consumer subscription model to a B2B SaaS model focused on giving artists and labels a new way to leverage AM/FM radio streams to connect with mainstream radio listeners.
With the engineering transition now completed, the internal AI team will focus on training and productizing the AI Placement Engine while the dedicated outsourced engineering team will lead development of the Discovr Radio Portal. The Company believes this will be a more capital efficient and faster product development process than was possible under the previous engineering structure, with launch of the Discovr Radio platform coinciding with the AI native holding company restructuring.
About Auddia Inc.
Auddia, through its proprietary AI platform for audio identification and classification, is reinventing how consumers engage with AM/FM radio, podcasts, and other audio content. Auddia's flagship audio superapp, called faidr, brings multiple industry firsts to the audio streaming landscape that include:
- ad free listening on any AM/FM music station
- content skipping across any AM/FM music station
- one touch skipping of entire podcast ad breaks
- ad free listening to podcast partners
faidr also delivers exclusive content and playlists, and showcases exciting new artists, hand-picked by curators and DJs. For more information, visit: www.auddia.com
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's current expectations about future results, performance, prospects and opportunities. Statements that are not historical facts, such as "anticipates," "believes" and "expects" or similar expressions, are forward-looking statements. These forward-looking statements are based on the current plans and expectations of management and are subject to a number of uncertainties and risks that could significantly affect the Company's current plans and expectations, as well as future results of operations and financial condition. These and other risks and uncertainties are discussed more fully in our filings with the Securities and Exchange Commission. Readers are encouraged to review the section titled "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2024, as well as other disclosures contained in the Annual Report and subsequent filings made with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Investor Relations:
Kirin Smith, President
PCG Advisory, Inc.
ksmith@pcgadvisory.com
www.pcgadvisory.com
