Streaming giant Netflix (NFLX) is laying off 150 employees as it grapples with increasing
competition and mounting subscriber losses.
The eliminated positions represent less than 2% of the company’s 11,000 employees
worldwide, with most of the job cuts happening in the U.S.
The staff reductions come less than a month after Netflix reported its first subscriber loss in a
decade and forecast future losses for the current second quarter.
During the company’s earnings last month, chief executive Reed Hastings said the company is
exploring lower-priced, ad-supported subscriptions in a bid to bring in new subscribers after
years of resisting advertisements on the platform.
Netflix is also working to crackdown on rampant password sharing, noting that in addition to its
222 million paying households, there are more than 100 million additional households accessing
the streaming platform through account sharing.
Netflix’s layoffs, while tied to its slowdown of subscribers, are part of a larger contraction of jobs
within the technology and entertainment industries. Several tech companies have recently
announced layoffs, including Facebook parent company Meta Platforms (FB), Amazon (AMZN,
and Uber (UBER).
Shares of Netflix are down 68% year to date at $190.56 U.S. each.
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