Twitch Will Make a New Mass Layoff

Amazon’s publishing subsidiary Twitch Things are not going well for the company and the platform is preparing to terminate the employment of many employees. According to Bloomberg, in the wave of layoffs that will begin this week, the company with 35% of its employees will say goodbye.

Layoffs continue at Twitch

The resignation of former CEO Emmett Shear, one of the founders of Twitch, and his leadership of the company Dan Clancy In the first wave of layoffs that started immediately after his arrival, 400 employees of the company were left unemployed. They were followed by 180 employees who became unemployed after Amazon closed the Crown channel, and the entire Game Growth department, which was closed.

Twitch, in recent months will withdraw from South Korea, one of the largest e-sports markets he explained. The reason for this decision was that they were constantly losing money due to high network fees in the country.

Twitch can’t make any money

Although since the pandemic Twitch Although the number of users and publishers has increased considerably, the platform has not yet managed to make a profit. Although they are working to increase advertising, their time under Amazon in 10 years Twitch failed to go positive.

Twitch is under a huge burden, especially in terms of operational costs, and is trying to reduce its expenses. In a blog post published by the platform in 2022, it was stated that the monthly cost of a popular publisher to the platform was around $ 1000. Company CEO clancy““It’s expensive to broadcast high-definition, low-latency live video to nearly every corner of the world.” told.