Netflix laid off another 300 employees.
The news comes Thursday after Deadline announced that hard work continued in May and the company’s top 150 positions were canceled due to slowdown in revenue growth.
“Unfortunately, we laid off about 300 of our employees today,” a Netflix spokesperson told Deadline. “As we continue to make significant investments in the business, we have made these adjustments to drive up our costs in line with slow revenue growth. We’re so grateful for everything you’ve done for Netflix and we’re working to support you through this difficult transition period. ”
We understand that the decline has impacted many different teams across the company’s product and legal divisions, primarily in the US, including Asia Pacific, Europe, the Middle East and Africa, and Latin America.
Netflix has a global workforce of approximately 11,000.
The latest layoff comes after Netflix lost 200,000 subscribers in the first quarter. In April, before stepping down from his US content teams, Tudum began cutting staff on his fansite when several staff members were laid off.
In May, many of the layoffs, including those with original content, were on the executive staff and were intent on leaving directorial-level management positions on several original series, including Sebastian Gibbs and Penelope Esoyan’s drama series and Negin Salmas in the game. and event television. Nathan Kitada, Fidan Manashirova and Naketa Metox, Brad Butler, Alison Haskovets and Caroline Mack Family Films are also part of the team.
Netflix shares have fallen since Streamer announced a drop in its global subscriber base, its first drop in more than a decade. Wall Street was also expecting more from the streaming giant in terms of revenue, with an analyst consensus calling for $7.93 billion. Netflix reported revenue of $7,868 billion in the first quarter, down 10% from the previous year.
But investors didn’t immediately respond to today’s story. Netflix shares fell in the back half of the trading day. They have risen from a 52-week low, but have lost more than two-thirds of their value in recent months.
The company is one month away from the next big crossroads. It will publish quarterly results at the end of July and already points to the possible loss of 2 million subscribers. More information was used on the company’s efforts to contain costs, slowing customer momentum. Despite the job cuts, content spending is expected to reach at least $20 billion this year and there are no plans to reduce that figure.
Despite the decline, the streamer stresses that it needs a “back to basics” response in recent months. In her speech at last Banff World Media Festival, Bella Bajaria, president of Global TV, dismissed the need for a “radical change in our business” given the challenging period of below-expected growth that cast doubts on the company’s model. .
Speaking at a rally at the Cannes Lions event in France today, CEO Ted Sarandos said this is inevitable as a relatively new industry develops.
“We gained experience when the market stopped doing the core business and we need to show that the thesis still works and will work in the long run,” he said. “There’s a lot of uncertainty in the world today, and they get nervous if they get something that violates the basis of the story.”
Source: Deadline
Lloyd Grunewald is an author at “The Fashion Vibes”. He is a talented writer who focuses on bringing the latest entertainment-related news to his readers. With a deep understanding of the entertainment industry and a passion for writing, Lloyd delivers engaging articles that keep his readers informed and entertained.
