Netflix announced Thursday that it has laid off 300 employees in a second round of job cuts after losing subscribers for the first time in more than a decade.
The job cuts represented around 4% of the streaming giant’s workforce and mainly affected American employees. They came after the company cut 150 jobs last month.
“As we continue to make significant investments in the business, we have made these adjustments so that our costs increase in line with our slower revenue growth,” Netflix said in a statement.
Netflix said in February that it had lost 200,000 subscribers worldwide at the start of 2022 and expected a decline of 2 million users in the next quarter.
The company blamed the decline on a range of factors, including increased competition, the economy, the war in Ukraine and the large number of people sharing their accounts with non-paying households.
Last month’s layoffs also primarily affected the company’s US workforce. Lawyers and former employees said at the time that the cuts included many employees from underrepresented groups and that the company also appeared to be removing some of the diverse content it funded in the years after the death. of George Floyd.
“Almost everyone I see on LinkedIn posting about the layoff was working on diversity, equity and inclusion at the company,” said former Netflix employee Evette Dionne. tweeted at the time. “They are not the only people to be fired, but there are too many of the 150 to be a coincidence.”
The company denied this information. He did not immediately respond to the Guardian’s request for comment on Thursday.
To make up for lost subscribers, Netflix is also considering adding advertising to the service in exchange for a cheaper subscription in addition to cutting costs, a move it had long resisted.
On Thursday, Netflix chief executive Ted Sarandos said the company was in talks with several companies for advertising partnerships.
Media earlier this week reported that he was in talks with Alphabet’s Google and Comcast’s NBCUniversal for possible marketing tie-ups.
“We’re talking to all of them right now,” Sarandos said at the Cannes Lions conference when asked which company Netflix was looking to partner with.