Twitch lays off around 35% of its workforce
Update: Twitch has now confirmed the layoffs in a new blog post.
It has been reported that live streaming service Twitch will be letting go of approximately 500 employees this week, equating to 35% of its current workforce.
The details:
As reported by Bloomberg, sources "familiar with the plans" claim that the company will announce significant cuts soon, but Twitch has declined to comment on the reports. This will be the company's third wave of layoffs since the start of 2023, following over 400 job losses in March and more in October.
The exact reason for the layoffs is unknown, but Twitch has been unprofitable since Amazon acquired it nearly ten years ago. The platform has also struggled in South Korea, announcing that the service would no longer be available as of February 27 due to rising costs, with the site's reputation harmed by numerous content policies in recent years.
This is the fourth round of layoffs in the gaming industry in 2024, following Archiact VR and Slipgate Iron Works, and Unity's announcement of 1,800 job cuts due to a "company reset." Many studios and publishers experienced layoffs last year, particularly Embracer Group, whose restructuring program is still in progress.
More gaming news:
Microsoft may be planning to release Sea of Thieves on both the Nintendo Switch and PS5 this year as it begins to offer its back catalog on rival platforms.
Marvel's Spider-Man 2 may be receiving a DLC featuring comic book villain Beetle, according to references found in leaked Insomniac Games files.
