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Netflix is ​​laying off 150 employees, including dozens from Tudum fans

Netflix lays off around 150 employees and agency contractors after a disappointing earnings report, citing “slow revenue growth”, as first reported by Variety.

It tells a source who is familiar with the situation The Verge layoffs include at least 26 employees working on the company’s fan-focused Tudum website, which complements Netflix content. Prior to this latest round of layoffs, Netflix released about 25 marketing staff, including nearly a dozen who worked at Tudum. The 26 employees who were laid off today were informed of the move in a mass mail.

This has been confirmed by the electricity giant The Verge that most employees affected by the layoffs are located in the United States. Netflix spokeswoman Erika Masonhall gave the following statement in response The Vergehis request for comment, noting that the layoffs were mainly driven by financial problems, rather than performance:

As we explained about earnings, our declining revenue growth means that we must also slow down our cost growth as a company. So unfortunately we are dropping around 1[ads1]50 employees today, mostly based in the US. These changes are primarily driven by business needs rather than individual performance, which makes them particularly tough as none of us want to say goodbye to such good colleagues. We work hard to support them through this very difficult transition. A number of agency contractors have also been affected by the news announced this morning. We’re grateful for their contribution to Netflix.

Last quarter, Netflix reported losing around 200,000 subscribers – the first time Netflix has lost subscribers in over a decade. It also expects to lose another 2 million in the next quarter. Russia’s invasion of Ukraine is partly to blame for the loss of subscribers, as Netflix shut down its services in Russia in March. Netflix had a low-key quarter with fewer huge Hollywood hits released on the platform, which did not help either.

Spencer Neumann, Netflix’s chief financial officer, said during last quarter’s earnings conversation that the company will cut back on spending over the next two years or so.

The power giant has told employees that a cheaper, ad-supported alternative will be launched later this year, as well as a breakdown of password sharing when it tries to revive subscriber growth.

Dissemination: The Verge currently producing a series with Netflix.

Additional reporting by Mia Sato.

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