Job cuts at Amazon: Amazon is cutting jobs in its Amazon Studios and Prime Video division as part of the company’s effort to streamline its businesses. The layoffs will affect around 100 employees, or about 1 per cent of the division’s workforce of 7,000, according to an anonymous source familiar with the matter. The move follows a string of cost-cutting measures implemented by several tech and entertainment companies in response to challenging economic conditions.
In a statement, Amazon said that it had been closely monitoring economic conditions and its organisational needs, leading to a decision to adjust resources. “As a result, a small number of roles will be eliminated on some teams,” the statement read.
Job cuts at Amazon: Amazon Studios is the film and TV production arm of Amazon, based in Culver City. It supplies the company’s streaming service, Prime Video, with shows such as The Marvelous Mrs Maisel, The Lord of the Rings: The Rings of Power, and the new spy thriller Citadel. Last year, the company expanded its entertainment business with the acquisition of MGM Studios for $8.5 billion, which is known for films such as the Creed franchise.
Amazon Studios’ film arm is increasingly focusing on theatrical releases, including recent movies such as Air, featuring Ben Affleck and Matt Damon. However, the division has not been immune to the company’s cost-cutting measures, with the recent elimination of some roles.
The job cuts at Amazon come after several layoffs across the tech and entertainment sectors. Companies such as Meta, Google, and Roku have all recently trimmed their workforces. Entertainment giant, Walt Disney Co., is in the process of cutting 7,000 jobs to save $5.5 billion in costs.
According to Ray Wang, CEO of Constellation Research, “Everyone’s tightening their budgets. This is more about adjusting for where people believe economic conditions will be.”
Earlier this year, Amazon laid off 18,000 employees, followed by another 9,000 job cuts announced in March. The second round of job cuts impacted divisions including Twitch, a platform that allows creators to live stream video games and other content to viewers. Twitch is well-known for its live-streaming capabilities and has gained a significant following in the gaming and creative communities. On Wednesday, Amazon also announced that it would be winding down its Halo fitness tracker business.
