Netflix is cutting off approximately 300 more staff across the board
Netflix is cutting off approximately 300 more staff across the board.
The layoffs, which amount to around 3% of total personnel, came about a month after the streaming giant lost about 150 jobs in the aftermath of its first subscriber drop in a decade.
“We, unfortunately, laid off about 300 employees today,” Netflix said in a statement Thursday. “While we continue to invest heavily in the business, we made these adjustments to align our costs with our slower revenue growth.” We are extremely appreciative for everything they have done for Netflix and are working hard to help them through this difficult transition.”
Netflix informed investors in April that it will be slowing its spending growth over the next two years.
During the firm’s earnings call, Netflix’s chief financial officer, Spencer Neumann, stated that the company is trying to be “prudent” in its pullback to reflect the realities of its business. The business intends to continue investing extensively, including approximately $17 billion in content.
During the call, co-CEO Reed Hastings also stated that the business is looking into lower-priced, ad-supported tiers in order to attract new users after years of fighting commercials on the platform.
Netflix is also striving to reduce excessive password sharing. In addition to its 222 million paying homes, the corporation claims that more than 100 million households use its service through account sharing.
The company’s shares were down less than 1% in lunchtime trade Thursday, but are down roughly 70% since January.