Amazon’s Twitch to Cut 500 Employees, About 35% of Staff

Amazon.com Inc.’s livestreaming site Twitch is poised to cut 35% of its staff, or about 500 workers, according to people familiar with the matter. This comes as Twitch announces a new round of layoffs and job cuts affecting more than 500 people. The cuts are part of a larger restructuring effort at Amazon, the parent company of Twitch, which is also implementing additional cuts. With this round of layoffs, close to 1000 employees will have lost their jobs in the span of a few months.

This news marks another round of layoffs hitting Twitch, the Amazon-owned livestreaming platform. The company will be reducing its workforce by 35%, resulting in approximately 500 employees being let go. These cuts are a result of a combination of factors, including the ongoing economic slowdown caused by the COVID-19 pandemic and the need to streamline operations amid increasing competition in the livestreaming industry.

“Twitch is taking steps to ensure its long-term sustainability and success in an increasingly crowded market,” says an industry analyst familiar with the situation.

It is not only Twitch that is experiencing layoffs in the tech industry during these challenging times. Just a day ago, Unity, a leading game development platform, announced it would be laying off 1800 employees as part of their company reset. The post-pandemic economic slowdown and the wave of layoffs are common themes plaguing the tech industry, indicating the broader impact of the current crisis.

Summary:

• Twitch, the livestreaming site owned by Amazon.com, is set to cut approximately 500 employees, representing 35% of its staff.
• These layoffs come amid a larger restructuring effort at Amazon and in response to the economic slowdown caused by the COVID-19 pandemic.
• The cuts aim to ensure Twitch’s long-term sustainability and competitiveness in the rapidly growing livestreaming industry.
• This is the third round of layoffs for Twitch, resulting in nearly 1000 employees losing their jobs in recent months.
• The tech industry as a whole is experiencing layoffs due to the post-pandemic economic slowdown, with Unity also announcing significant job cuts.

“The livestreaming industry is becoming increasingly competitive, and Twitch needs to make strategic moves to remain a dominant player,” explains a technology analyst.