Netflix to Cut up to 800 Jobs as Subscriber Growth Slows
Netflix plans to lay off roughly five percent of its staff, affecting up to 800 of its 16,000 employees, as competition intensifies.
Netflix announced it will eliminate about five percent of its global workforce, potentially dismissing up to 800 employees from its 16,000-strong staff base, with cuts starting next week. This is the most extensive layoff since the 2022 reductions that followed a slowdown in subscriber growth. The company reported second-quarter revenue of $12.56 billion, up 13% from the previous year, and a net profit of $3.4 billion, yet it trimmed its 2026 revenue forecast to a range of $51-$51.4 billion and expects $3 billion from advertising.
The news sent Netflix’s stock down over 8%. To address mounting competition from smaller streaming services and YouTube’s expanding viewership, Netflix is broadening its portfolio to include gaming, live programming, and a more aggressive ad-supported model. Co-CEO Ted Sarandos acknowledged the slower growth at a recent industry event, emphasizing the company’s focus on professionally produced content rather than user-generated material.
Why it matters
The layoffs signal Netflix’s struggle to maintain growth amid rising competition and a shifting streaming market.
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