Netflix Fires 150 Employees In Efforts Of Cost Cutting

Last ditch effort or a solid strategy?

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Netflix is one of the most popular streaming services globally. However, recently it has announced layoffs of nearly 150 positions for the streamers workforce. The total 11,000 streamers workforce is being cut short due to a halt in the company’s revenue growth.

Most of the affected percentage is US-based, and a notable portion in the creative side across both series and films as per the sources. Most of the positions are at the executive ranks, including the original content.

There are also rumors of director-level novel series administrators leaving. Another rampant rumor is that the Netflix indie film sector will suffer from heavy losses, although internal sources deny it.

While talking to Deadline, a Netflix spokesperson said that “As we explained on earnings, our slowing revenue growth means we also have to slow our cost growth as a company. So sadly, we are letting around 150 employees go today, mostly US-based.”

Some departing names (RUMORED)

Although Netflix has denied commenting on any particular layoff, several rumors about notable names in the executive position departing from their positions across both the film and TV sector, including Penelope Essoyan and Sebastian Gibbs in the drama series.

Negin Salmasi in the Spectacle and Event TV and Naketha Mattocks, Nathan Kitada, Caroline Mak, Brad Butler, and Fidan Manashirova. Furthermore, there are certain names in the editorial staff and contractors that the public expects to leave.

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However, the staff reductions are far from a surprise, and it was expected as the Netflix stock fell sharply after the latest report last month, which suggests that the global subscriber count decreased by 200,000 in Q1 in 2021. It is the first major drop in over a decade for the company.

According to the analysts calling for the streaming service to make $7.93 billion, the revenue growth per the streets from the streaming giants is slow. However, Netflix reported revenue of $7.868 billion in Q1, less than 10% from a year ago.

The company shareholders received a quarterly letter stating, “Our revenue growth has slowed considerably as our results and forecast below show,” It further adds, Streaming is winning over linear, as we predicted, and Netflix titles are very popular globally.

However, our relatively high household penetration –including the large number of households sharing accounts – and competition- is creating revenue growth headwinds.”

Sameer

Sameer

I am a technophile, writer, YouTuber, and SEO analyst who is insane about tech and enjoys experimenting with numerous devices. An engineer by degree but a writer from the heart. I run a Youtube channel known as “XtreamDroid” that focuses on Android apps, how-to guides, and tips & tricks.

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