News about layoffs

Netflix (NFLX) shares fell more than 5% on Wednesday after the company cut its full-year ad revenue forecast to about $2.7 billion from $3 billion. Third-quarter revenue rose 12% year over year to $12.9 billion, a sharp slowdown from the 17% growth in the same quarter of 2025, which Netflix attributed to membership additions, price hikes, and its expanding ad platform. Operating margin improved to 34.6% from 28.2%, but the company said this was mostly due to the timing of certain expenses. Earnings per share rose 47% to $0.87, beating estimates of $0.82. Per CNBC, Netflix is cutting about 6% of its workforce to invest in content and technology, and it replaced chief content officer Bela Bajaria with former Disney executive Peter Rice amid intensifying competition from YouTube and other rivals.

Netflix is reshuffling its content leadership, with former Disney executive Peter Rice replacing 10-year veteran Bela Bajaria as chief content officer overseeing global content. The move comes days after the streamer laid off roughly 1,000 employees, or 6% of its workforce, amid stagnating viewership. Netflix reported viewership rose just 2% in the first half of the year, and Nielsen data showed YouTube at 14.2% of TV viewing versus Netflix's 7.8%. Rice previously served as chairman of Walt Disney Television and oversaw the production of more than 300 shows. BMO analyst Brian Pitz wrote that Bajaria's departure likely signals engagement remained soft in the third quarter, and Netflix is set to report fiscal third-quarter earnings on Tuesday.

Netflix announced it is cutting about 6% of its staff, roughly 1,000 positions, its largest layoffs since 2022, focused on product, HR, tech and legal departments, according to an email from co-CEOs Ted Sarandos and Greg Peters. The move comes as its audience wanes and its stock has been beaten down; Nielsen data shows Netflix's share of U.S. TV viewing time fell from 8.8% a year ago to 7.8%, while YouTube rose from 13.4% to more than 14%. The article speculates the cuts may be linked to AI-driven productivity, though Netflix has not given a reason, and notes the company reports results on Tuesday. Shares initially rose on the news before reversing to virtually unchanged.

Netflix said on Wednesday it will lay off roughly 6% of its employees, with the cuts mainly affecting its product, tech, legal and HR teams, according to a memo obtained by CNBC. Co-CEOs Ted Sarandos and Greg Peters wrote that the company must be disciplined about where it puts its people and resources, while stating that the business is strong, growing and on track to meet its full-year forecast. Netflix said it will keep investing aggressively in high-impact areas. The streaming company is due to report quarterly earnings on Tuesday, and Sarandos said last month that Netflix was “not growing as fast as I want.”

According to the Wall Street Journal, Netflix is cutting about 6% of its workforce, its largest round of job cuts since 2022, to control costs amid heavier competition from Google and other media players and pressure on its top-line growth. The stock has declined this year, and the cuts are seen as a first step toward getting the cost base under control. Investors are reportedly looking for more at Monday's earnings call, including a possible dividend, which would be a first for the company.