Shoe manufacturer Allbirds announced it is leaving the footwear industry to transform into an artificial intelligence company, according to a report from CBS News.

The company, which has been described as struggling in the competitive footwear market, made the announcement as part of a complete business pivot away from its original product line.

Allbirds had previously positioned itself as a sustainable footwear brand, focusing on environmentally friendly materials and manufacturing processes. The company went public in 2021 but has faced challenges in recent years amid increased competition in the direct-to-consumer shoe market.

The announcement comes amid broader developments in the AI sector, where various companies across industries are exploring artificial intelligence applications. Some groups have expressed concerns about AI development, with content creators being recruited to warn about potential risks of advanced machine intelligence.

Details about Allbirds' specific AI business strategy, timeline for the transition, or how the company plans to leverage its existing resources for the new venture were not immediately available.