Netflix lays off 450 employees in two months-Heres whats bothering OTT giant
Netflix, the dominant video streaming platform, has laid off 300 employees, about 4% of its workforce, aiming at lowering costs. The action comes after the streaming giant lost subscribers for the first time in more than a decade.
Netflix, the dominant video streaming platform, has laid off 300 employees, about 4% of its workforce, aiming at lowering costs. The action comes after the streaming giant lost subscribers for the first time in more than a decade.
The new layoff hits just a few weeks after the streaming giant made an initial round of reductions of similar size in May.
Earlier, Netflix had laid off 150 employees, dozens of contractors and part-time workers in May.
Several top-notch creative professionals from its original series vertical, such as Sebastian Gibbs and Negin Salmasi, were asked to leave the organisation.
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"More rounds of layoffs would be coming this year following that first group, as the platform tried to adjust for its heavily weakened stock price,the platform also indicated." IANS added
“While we continue to invest significantly in the business, we made these adjustments so that our costs are growing in line with our slower revenue growth,” Netflix said in a statement on Thursday, confirmed Reuters.
"A report, in May, said that Netflix saw its stock tumbling by 20 per cent after it reported a loss of 2 lakh paid subscribers in the first quarter of 2022, its first subscriber loss in over a decade." IANS reported.
"Moreover, it now forecasts a global paid subscriber loss of 20 lakh for the April-June quarter (Q2)."IANS added.
"To arrest that downtrend, the company plans to introduce a cheaper, ad-supported subscription tier for which it is in talks with several companies.",Reuters reported.( with agency inputs)
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