Vivek Ramaswamy pushes for BuzzFeed board seats, says company has lost its way

Vivek Ramaswamy, former 2024 GOP presidential contender and now the second-largest Class A shareholder in BuzzFeed, has urged the company to overhaul its board and business strategy. Ramaswamy, holding an 8.37% stake, criticized BuzzFeed for losing its pioneering edge in the social internet sphere and highlighted its plummeting market value from $1.5 billion to roughly $100 million since its public listing in December 2021.

Ramaswamy proposed adding three new directors and outlined a three-phase strategy to revitalize BuzzFeed, emphasizing investment in creator-led content and rebranding to distinguish itself from competitors. He stressed the need for "true intellectual diversity" within the company and claimed that without significant changes, BuzzFeed could face bankruptcy by the end of 2024. Ramaswamy has requested the addition of his proposed directors by July 15, aiming to steer the company toward a more profitable and distinctive future.

Since going public in December 2021, BuzzFeed's market value has experienced a significant decline, plummeting from around $1.5 billion to just under $100 million. This drastic reduction in market value reflects the company's struggles in the public market, where it has faced challenges such as declining revenues and a lack of a viable business strategy in a changing media landscape. The decline in value indicates that investors have lost confidence in BuzzFeed's ability to maintain its former level of success and profitability, which was initially high due to its pioneering role in the social internet sphere1. The reduced market value has placed BuzzFeed in a precarious financial position, prompting concerns about its sustainability and the need for a strategic overhaul to avoid potential bankruptcy5.