Twitch Is Reportedly Laying Off 500 Employees

Twitch Rumored To Face a Workforce Reduction of 35% with Approximately 500 Layoffs

Twitch, the prominent streaming platform owned by Amazon, is bracing for a significant downsizing, aiming to cut around 500 employees this week. The reported move reported by Bloomberg translates to a 35% reduction in Twitch’s workforce, marking another challenge for the streaming giant.

Facing an array of difficulties, Twitch underwent substantial workforce cuts last year, with over 400 employees laid off as part of broader measures within parent company Amazon. The platform has grappled with controversies surrounding content policies and promotions of certain content types, including instances of partial or implied nudity.



The streaming landscape has also become more competitive, with rival platform Kick enticing some of Twitch’s top creators with lucrative deals. The platform, which once dominated the streaming world, now faces a wider array of competitors which may be the reason for this change.

The reported layoffs at Twitch follow a broader trend in the gaming industry, with Unity, another key player, announcing its intention to cut 25% of its workforce, amounting to approximately 1,800 employees. Unity has experienced significant internal changes, including the departure of its president and CEO, John Riccitiello, last October.

These workforce reductions underscore the challenging times faced by the video game sector, with an estimated 9,000 job losses in the industry last year. The competitive dynamics, content-related controversies, and operational challenges appear to be contributing factors to the ongoing shifts in the gaming and streaming landscape.