Why did Netflix fire its 300 employees? | Second major layoff of Netflix company.

Netflix fired its 300 employees:

Netflix remains the clear leader in the streaming market, but it also faces fierce competition from other streaming platforms. To survive the market, the streaming giant is exploring an ad-supported service and cracking down on password sharing. The co-chief executive of Netflix said that the company is looking into advertising partnerships to appeal to price-sensitive. 

Audiences the job cuts come amid rising worries in the US. As per research, signs of a slowdown are particularly evident in the tech sector, as start-up companies have terminated nearly 270 workers since May, which is almost double the number recorded last year in 2021.

There is once again big bad news about the worldwide famous online streaming company Netflix. The company has done a big layoff for the second time and has fired about 300 employees. What is the reason for this? We are going to tell you all this in this report, what is the effect of this going to be around the world.

After the Corona epidemic, due to the period of highest inflation, the world is facing the fear of recession. The condition of the stock markets was bad, especially for the tech companies, the last five-six months proved to be very bad. Well-known company Netflix has not only fallen sharply in the share price of one of these companies, but the company is also suffering a big loss in terms of revenue and subscribers. 

Fighting with these circumstances, the decision of retrenchment is being taken to run the company. This time Netflix has fired 300 employees, i.e. 4% of its office employees. This is the second round of layoffs in the company. Earlier, Netflix had laid off about 150 employees and dozens of contractors citing slow revenue growth. Before that, about 25 people from the marketing team were thrown out. 

The company is laying off employees at a time when it is facing a loss in terms of subscribers for the first time. Regarding this, Netflix said in its statement, "We are continuing to invest in the business, but we need to keep the cost balance with the slow growth of revenue." On commenting, we have taken this step so that we can keep moving forward in the changed situation. 

We are grateful to the people for everything they have done for Netflix. We are doing our best to support them in this difficult times. Even after the first round of layoffs, the company had said that this move was not related to the performance of the employees, but was forced to do so due to financial reasons. Netflix had a loss of about 2 lakh subscribers in the last quarter. This is the first time in the last decade that Netflix's subscribers have decreased.

The company has also predicted a loss of about 2 lakh subscribers in the coming days. The company has suffered a lot due to the on-going war between Russia and Ukraine. Due to this war, America imposed many tough sanctions on Russia. Many American companies closed their business in Russia in protest against the war on Ukraine. Netflix is ​​also one of those companies. The company has also faced the loss of all these factors in the share market.

Six months ago, its share price used to be more than $682. It has now fallen more than 70% to just $ 180. Netflix's stock was at its old-time high in October last year. At that time, the price of a share of Netflix had crossed $ 700 in the stock market. Its stock is now down nearly 75% from its open time highs. Let us tell you that Netflix is ​​an American company that produces an open streaming service. 

Through the company app, you can watch many interesting things including TV shows, and web series. A month after streaming giant Netflix fired 150 people, it's announced another round of job cuts. It'll be slashing 300 more jobs, mostly in the United States. The current action is the result of Netflix losing a party of its subscriber base for the first time back in April. 

The company has increased its subscription prices in the US. And the UK, which has also contributed to its losses. We hope you like the article, If you have any questions please comment on our site www.tradeipohub.co.in. Thanks for reading.