If Netflix HQ has a panic button, the executives better hit it now, if they already haven't.
Things have gone from bad to worse for Netflix as the popular streaming platform has had to cut costs on a handful of in-development high-budget projects as well as more than 100 employees in an attempt to cut costs.
In a report courtesy of Variety, Netflix has laid off 150 employees from its California office, which is almost 2% of its workforce in the United States. Netflix explained that the reason behind the firing is the "slowing revenue growth", saying that it also has to slow its "cost growth as a company." Other sources claim that the most recent Netflix layoff is just the first of many resulting from the substantial drop in subscriber count the platform experienced earlier this year.
In addition to cutting employees, Netflix also dropped several high-profile projects such as Wings of Fire, Antiracist Baby, With Kind Regards From Kindergarten, Stamped: Racism, Antiracism and You, as well as Stamped from the Beginning.
Netflix didn't need to state the obvious regarding its cost-saving measures.
The streaming platform is struggling to cut its losses after losing subscribers for the first time in a decade. With a more significant loss expected later this year, Netflix needs to do more to scale back its costs to prepare for another drop in valuation. However, you can't help but wonder if some of Netflix's moves will do more harm than good. Although it's easy to see the value in offering an ad-supported plan, cracking down on password-sharing is a double-edged sword.
The only saving grace here is that Netflix still has a handful of upcoming shows that should keep audiences coming back for more.