Forum and discussion platform Reddit is planning to cut 90 jobs (roughly 5%) of its workforce, the company said Wednesday.
With a total headcount of 2,000 employees, the company will also reduce hiring from 300 roles down to only 100.
Reddit CEO Steve Huffman explained in a memo that the company will be prioritizing “getting to breakeven next year,” while being able to fund data and tools for its moderators. It will also raise prices for third-party app developers in order “to be paid fairly.”
“The team and I reviewed and adjusted our plan through the end of 2024 […] We’ve had a solid first half of the year and this restructuring will position us to carry that momentum into the second half and beyond,” he wrote.
As of May 2023, Reddit has more than 57 million daily active users that participate in more than 100,000 active communities, or Subreddits.
The company is just one among the many to join the latest wave of tech giant layoffs.
Last Tuesday, audio streaming platform Spotify laid off 200 of its employees (roughly 2%) from the podcast unit as it enters its “next phase.”
In its strategy shift, the company plans to expand partnerships, level up advertising efforts, and produce original podcasts under the new Parcast-Gimlet merger.
-author-avatar_thumbnail.jpg){kind=avatar}
