Tech and retail giant Amazon.com is further cutting its workforce with a fresh round of layoffs, this time in its media divisions.Thank you for reading this post, don't forget to subscribe!
Mike Hopkins, senior vice president of Prime Video and Amazon MGM Studios, informed employees in an internal memo on Wednesday that the organization will eliminate “several hundred roles” by the end of this week.
Amazon’s Prime Video and MGM Studios divisions announced Wednesday that it is laying off hundreds of employees between now and the end of the week.
Hopkins explained in the note, which Amazon shared with Fox Business, that the reasoning behind the layoffs is that the company “has identified opportunities to reduce or discontinue investments in certain areas while increasing its investment and content.” And focused on product initiatives that deliver the most.” Effect.”
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He said the job cuts were a “difficult decision” and said affected employees would receive a severance package that includes transitional benefits and assistance with external job placement.
Amazon-owned Twitch announced Wednesday that it is cutting 35% of its workforce.
Separately on Wednesday, Amazon’s Twitch service announced its own “difficult update,” sharing on its blog an email from CEO Dan Clancy to employees earlier in the day that said the company would be cutting 35% of its workforce. It is serving about 500 people.
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“Over the past year, we’ve been working to build a more sustainable business so that Twitch is here to stay for the long haul, and throughout the year we’ve cut costs and made a number of decisions to be more efficient,” Clancy wrote. “Unfortunately, despite these efforts, it has become clear that our organization is still too large to be meaningful given the size of our business.”
He said the company paid out more than $1 billion to streamers in 2023.
Amazon cut more than 27,000 jobs last year as part of a wave of tech layoffs that followed a massive hiring freeze in the industry during the pandemic.
Reuters contributed to this report.
Original article source: Amazon lays off hundreds of people in Prime Video, MGM Studios, Twitch divisions