Twitch recently shared bad news regarding layoffs and cutting jobs. CEO Dan Clancy said the company is letting go of around 500 of its workers, approximately 35% of the team. This is the third time this has happened in the past year.

Twitch’s tough year

Twitch hasn’t had a good year in 2023 as the company faced challenges such as losing its top leaders, making controversial policy changes and dealing with more competition, such as Kick and YouTube Live. Twitch CEO Dan Clancy shared the news in a blog post.

“Today I have some incredibly difficult news to share. As you all know, we have worked hard over the last year to run our business as sustainably as possible. Unfortunately, we still have work to do to rightsize our company and I regret having to share that we are taking the painful step to reduce our headcount by just over 500 people across Twitch,” Clancy said in his blog post.

“This will be a very hard day. Our service exists to empower communities to create, together and every single one of you has played a vital role in fostering our community and furthering that mission,” he added.

However, it’s not just Twitch. Amazon, the parent company that owns Twitch, is also cutting jobs in other areas like Prime Video and MGM Studios. These massive layoffs reflect bigger problems at Amazon, with many job cuts happening since late 2022.

The future of Twitch

According to Clancy, these layoffs are in line with current trends in the tech industry and there are no signs of the layoffs slowing down.

Clancy promised to talk to the Twitch community about these layoffs. Twitch also still appears committed to the livestreaming space for streamers despite these layoffs.