Amazon laid off “a number of hundred” staff on Wednesday within the MGM Studios, Prime Video, and Twitch divisions. Staff have been let go in an e mail despatched by Senior Vice President Mike Hopkins.
“All through the previous 12 months, we have checked out practically each side of our enterprise with an eye fixed in the direction of bettering our capability to ship much more breakthrough films, TV reveals, and reside sports activities in a customized, straightforward to make use of leisure expertise for our international prospects,” Hopkins wrote within the memo that was obtained by CNBC. “In consequence, we have recognized alternatives to cut back or discontinue investments in sure areas whereas rising our funding and give attention to content material and product initiatives that ship probably the most impression. On account of these selections, we shall be eliminating a number of hundred roles throughout the Prime Video and Amazon MGM Studios group.”
Associated: Amazon Cuts 27 Out of 30 Non-public-Label Clothes Manufacturers
Hopkins referred to as the choice to slash staffers “troublesome” and famous that the layoffs have been international and will take as much as one week for all affected staff to be contacted.
“It’s laborious to say goodbye to gifted Amazonians who’ve made significant contributions on behalf of our prospects, staff and enterprise,” he mentioned. “Thanks to your dedication and work.”
Individually, on the live-streaming unit Twitch, which Amazon acquired in 2014, 500 staffers have been minimize on Wednesday.
Final 12 months, Amazon initiated the most important spherical of layoffs in firm historical past when CEO Andy Jassy introduced that the corporate can be letting go of 18,000 staff, citing a troublesome financial time and fast hirings within the years prior amid the pandemic.
Associated: Amazon CEO Andy Jassy Is on a ‘Value-Reducing’ Spree
Amazon had a powerful Q3 2023 after leaping 13% in income amid cost-cutting initiatives.
“We had a powerful third quarter as our value to serve and pace of supply in our Shops enterprise took one other step ahead, our AWS progress continued to stabilize, our Promoting income grew robustly, and general working earnings and free money move rose considerably,” Jassy mentioned at the time.
It is estimated that the corporate has laid off 27,000 staff since final fall.
Amazon was up over 61% 12 months over 12 months as of Wednesday afternoon.
