Twitch CEO confirms 500 employees will be let go

On Tuesday, a Bloomberg report surfaced indicating that 500 employees at the streaming platform Twitch might be departing from their positions. Subsequently, Twitch CEO Dan Clancy has officially confirmed this information through a blog post.

In his post, Twitch CEO Clancy explains that over the past year, the company has been actively working to establish a more sustainable business for the future. Despite various attempts to enhance efficiency and reduce costs, it has become apparent that the current workforce is disproportionately large for the scale of their operations.

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“At this point, we are focused on communicating with our employees and providing them with clarity on how this impacts each of them. We greatly value the employees we’re saying goodbye to today as people and professionals and are grateful for all their efforts to support all of you.”

Last March, the company had to let go of 400 employees, and in December, they announced the closure of operations in South Korea.

Despite the significant number of layoffs, Twitch streamers will remain unaffected. Clancy emphasized that the reductions are intended to “ensure that we can continue to serve our streamers sustainably without impacting their ability to support their careers on Twitch.”

At the same time, Amazon stated through a company executive that it is carrying out workforce reductions to “prioritize our investments for the sustained success of our enterprise.”