Netflix lays off about 150 employees in latest round of cuts

Netflix is ​​laying off around 150 employees weeks after the streaming giant recorded its first loss of subscribers since 2011.

The job cuts were described in an internal memo obtained by The Hollywood Reporter, which first reported the news.

A Netflix spokesperson confirmed the cuts on Tuesday, saying, “As we explained on earnings, our slowing revenue growth means we also need to slow our cost growth as a business. Unfortunately, we are laying off approximately 150 employees today, mostly based in the United States.

The layoffs represent around 2% of the streaming giant’s total workforce.

“These changes are primarily driven by business needs rather than individual performance, which makes them particularly challenging as none of us want to say goodbye to such great colleagues. We are working hard to support them in this very difficult transition,” the Netflix rep said.

Netflix has laid off 150 employees as part of bigger cuts at the streaming giant.
Bloomberg via Getty Images

News of the cuts follows a series of layoffs at Netflix’s Tudum division, which launched in December.

Tudum, a nod to the sound that accompanies the Netflix logo when subscribers open the streaming site, was a division that focused on news and stories related to the service’s most popular shows and movies.

At the time, sources told the Post that another wave of layoffs was imminent. They pointed to the company’s recent disappointing financial report, in which it said it lost 200,000 subscribers in the first quarter.

The streamer, which hosts hit shows like “Inventing Anna,” “Squid Game” and “Bridgerton,” also said it expects to lose another 2 million in the second quarter. Netflix currently has 221.6 million subscribers, which is even more than the competition.

Reed Hastings and Ted Sarandos
Co-CEOs Reed Hastings and Ted Sarandos add a new ad-supported tier and crack down on password sharing to maximize subscribers.
Getty Images

To stem the bleeding, Netflix co-CEOs Reed Hastings and Ted Sarandos said the company would likely crack down on password sharing.

The CEOs also plan to launch a low-cost ad-supported tier by the end of the year, a much faster schedule than originally planned, in a bid to grow revenue and subscribers.

The Los Gatos, Calif.-based streaming giant currently offers a host of payment tiers, including its most popular plan, which costs $15.49 per month. The cost of the cheaper ad-supported tier has not been announced.

Other streaming providers have similar plans and ad-supported offerings. HBO Max, for example, offers an ad-free service for $15 a month, and it charges $10 a month for the service with ads.

New York Post

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