Netflix Tightens Belt, Lays Off Additional 300 Employees

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Jeong Hyunjin] Netflix, the world's largest online video service (OTT), laid off an additional 300 employees on the 23rd (local time) aiming to reduce costs.

According to Bloomberg and other sources, Netflix issued a statement on the day saying, "While we continue significant business investments, we have adjusted our workforce due to rising costs coupled with slowing revenue growth." The layoffs were mainly targeted at employees in the United States.

This layoff is the second round of reductions within a month by Netflix. Previously, the company laid off 150 full-time employees last month. In addition, Netflix also laid off 25 marketing staff from 'Toodoom,' a news-only website introducing Netflix original content, 70 employees from its animation studio, and 60 social media personnel.

Bloomberg reported that Netflix, facing a slowdown in subscriber growth, took additional layoffs to control spending. Netflix announced in April that its paid subscribers decreased for the first time in 11 years. Following a decrease of 200,000 in the first quarter, it expected an additional loss of 2 million subscribers in the second quarter. In response, Netflix stated it would implement various cost-saving measures, including optimizing content spending and launching a low-cost service with ads.

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