FICO plans to cut roughly 15% of its workforce as part of a restructuring designed to reduce costs and increase the company’s focus on artificial intelligence.
The credit-scoring and analytics company disclosed the restructuring in a regulatory filing. Reuters estimated the reduction could affect roughly 570 employees based on the company’s previous headcount.
Competition is changing the credit-score market
FICO is also facing pressure from changes in U.S. mortgage policy. Federal housing regulators have expanded the role of VantageScore, creating more direct competition in a market where FICO has long held a dominant position.
The company expects about $27 million in pre-tax restructuring charges, primarily related to severance, with the program expected to continue into fiscal 2027.
The cuts come as FICO simultaneously markets new responsible-AI tools and research, underscoring the tension facing many software companies: investing aggressively in AI while reshaping their existing workforce and cost base.
Sources
- FICO Form 8-K, filed Oct. 6, 2026
- Reuters, Oct. 6-7, 2026
