New wave of layoffs in tech.
The company Snap, which owns the social network Snapchat, announced on Monday the elimination of around 500 employees from its workforce, or 10% of its employees worldwide, indicates Reuters.
“In order to best position our business and accomplish the highest priority tasks, and ensure our ability to incrementally invest to support our growth over time, we have made the difficult decision to restructure our team,” Snap said.
The group did not specify which departments would be affected by these layoffs.
The company had already cut 20% of its workforce in 2022, and 3% in 2023, recalls the specialist media The Verge.
The social network, popular with young people in France, has often struggled to find a place against its competitors TikTok or Instagram.
The company has also been faced, like other tech groups, with drops in advertising revenue.
Serial layoffs
“These layoffs do not bode well for the state of Snap's business,” Jasmine Enberg, senior analyst at research firm Insider Intelligence, told Reuters.
“Snap is likely trying to gain goodwill with investors, who have rewarded its competitor for its cost-cutting measures.
»
Also read: Why these massive social plans in Gafam?
Many companies in the tech sector have announced, in turn, significant waves of layoffs in an increasingly uncertain economic context.
In January, Amazon announced cuts of several thousand jobs in several of its services, notably Audible audio books, and its online streaming service Twitch, recalls Reuters.
As for Alphabet, Google's parent company, hundreds of employees are also affected by layoffs.
Cuts are also planned at Microsoft and eBay.