Having witnessed many top-level exits in 2023, Twitch, the livestreaming platform that was acquired by Amazon about nine years ago, is all set to reduce its workforce by 500 members. That means, about 35 per cent of its team will be let go today, as reported by Bloomberg.
Last year, Twitch saw its chief customer officer, chief content officer, chief product officer as well as chief revenue officer, putting in their papers within a period of a few months. The platform undertook two rounds of job cuts last year, impacting 400 people.
Although Twitch has been relying on infrastructure provided by Amazon, the platform has reportedly been finding it very financially challenging to run the website, which supports over one billion hours of live video content on a monthly basis. The business has clearly not made profits.
On 6 December 2023, Twitch announced that it will cease operations in South Korea in February 2024, citing high operating expenses and network fees as the primary reasons. In a blog post, Dan Clancy, CEO, Twitch, had stated last month that the platform had been facing substantial financial losses in Korea, and that there was no viable way for the business to operate in a more sustainable fashion in Korea.
In October, 2023, the video-streaming platform had reportedly let go of 400 employees. This downsizing, revealed by user Zach Bussey, was lower in scale than the one in March, 2023.
