After the Google layoffs 2024 news, we are back with Prime Video layoffs 2024 news. Amazon has announced it will lay off several hundred employees in its streaming and studio operations.
This decision is in addition to the 500 layoffs previously announced by Twitch, a subsidiary of Amazon. According to an internal memo sent by Mike Hopkins, senior vice president of Prime Video and Amazon MGM Studios, the layoffs are to increase investments and focus on content and product initiatives that deliver the most impact while reducing or halting investments in certain areas. Here’s what we know.
Prime Video layoffs 2024: All details you need to know
According to an internal memo sent by Mike Hopkins, senior vice president of Prime Video and Amazon MGM Studios, the layoffs are to reduce or halt investments in certain areas while increasing investment and focus on content and product initiatives that deliver the most impact.
Impact of layoffs
The layoffs will affect several hundred employees in Amazon’s broadcast and studio operations. The company is providing affected employees with severance packages, transitional benefits, and external career transition support.
Amazon’s media business
Amazon has been spending aggressively in recent years to bolster its media business, including an $8.5 billion deal for MGM and about $465 million for the first season of The Lord of the Rings: Rings of Power on Prime Video in 2022. It’s also preparing to offer ads on Prime Video as well as a more expensive ad-free subscription tier in some markets, similar to moves by rivals Netflix and Disney.
Twitch, a subsidiary of Amazon, also announced layoffs that will see 500 employees lose their jobs. Twitch’s CEO, Dan Clancy, stated that the company has grown too big and that they still have work to do to fix the company, based on optimism that the business will grow faster.
The layoffs at Amazon and Twitch are part of a larger trend in the tech sector, with companies like Facebook and Microsoft laying off thousands of employees recently.
Final words about layoffs
The layoffs at Amazon and Twitch are a sign of the challenges the tech industry has faced recently. Despite the challenges, both companies are committed to delivering high-quality content and products to their customers. With the right strategies in place, they can continue to thrive and grow in the future.
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