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Discord cuts 17 percent of workers in latest tech layoffs

Discord cuts 17 percent of workers in latest tech layoffs

Gamers' favorite social chat and messaging start-up Discord told employees on Thursday it will cut 17 percent of its workforce, the latest job cuts by a tech firm this year.

About 170 people have been laid off, according to an internal memo sent by Discord founder and chief executive Jason Citron, which was seen by The New York Times.

“We have to face some hard truths,” Mr. Citron wrote. “We are being clear on the need to sharpen our focus and improve the way we work together to bring more agility For our organization.”

Discord confirmed the cuts. layoffs had happened before informed of By The Verge.

The layoffs come amid a series of cutbacks in the tech industry, including cuts at giants like Google, Amazon and Meta. Gaming companies in particular have cut their ranks; Amazon-owned streaming service Twitch, which is used by many gamers, and videogame software provider Unity Software cut their workforces last week.

On Wednesday, Google also laid off hundreds of employees working in its core engineering division as well as its voice-powered virtual assistant Google Assistant and hardware division. Amazon also laid off hundreds of employees on Wednesday from not only its Twitch streaming service but also its Prime Video service and MGM studios. Xerox said this month it would cut 15 percent of its 23,000 employees.

The cuts signal what could be another difficult year for the tech industry, as thousands of workers were laid off last year amid challenging economic conditions and a downturn in the digital advertising market.

In his note, Mr. Citron said the layoffs were the result of overhiring and growing too quickly, with Discord expanding to five times its original size since 2020. As a result, he said, Discord took on too many projects and worked on them less efficiently.

His reasoning echoes similar statements from tech CEOs in the past, such as Meta's Mark Zuckerberg and Spotify's Daniel Ek, both of whom faced layoffs in the past two years.



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