Amazon.com Inc. is laying off hundreds of employees in its Prime Video and studios business.
The cuts were announced in an email to employees on Wednesday by Mike Hopkins, who runs the streaming video and studios division, Bloomberg reported.
“Throughout the past year, we’ve looked at nearly every aspect of our business with an eye towards improving our ability to deliver even more breakthrough movies, TV shows, and live sports in a personalized, easy to use entertainment experience for our global customers,” Hopkins wrote in the memo, which Bloomberg reported it had reviewed. “As a result, we’ve identified opportunities to reduce or discontinue investments in certain areas while increasing our investment and focus on content and product initiatives that deliver the most impact.”
Amazon isn’t the only company looking to cut costs in its video streaming business. In addition to Amazon, Walt Disney Co., Paramount Global and Warner Bros. Discovery Inc. are all looking for cost-cutting measures in their video streaming. Netflix Inc. hasn’t boosted its content budget in two years. The number of scripted shows released in the U.S. peaked at 599 in 2022. Industry experts predict only 400 will be made this year, according to Bloomberg.
Amazon has laid off more than 27,000 employees since late 2022, Bloomberg reported.
