Netflix plans to cut spending by $402m in 2023
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Company leaders urged staff to be judicious with spending, including in relation to hiring, but said there would be no hiring freeze or additional layoffs.
PHOTO: AFP
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NEW YORK – Netflix plans to cut its spending by US$300 million (S$402 million) in 2023, The Wall Street Journal reported on Friday, citing sources familiar with the matter.
Company leaders urged staff to be judicious with their spending, including in relation to hiring, but said there would be no hiring freeze or additional layoffs, according to the report.
Netflix declined to comment. Shares of the company were down nearly 2 per cent in early trading.
In April, Netflix beat estimates for the first quarter but offered a lighter-than-expected forecast, demonstrating the challenges it faces in pursuit of growth.
The company said it shifted a wider launch of a plan to crack down on unsanctioned password sharing to the second quarter to make improvements.
As the streaming video pioneer faces signs of market saturation, it is exploring new ways to make money, such as password crackdown and a new advertising-supported service.
Last June, it also laid off 300 employees, or about 4 per cent of its workforce, in the second round of job cuts aimed at lowering costs. REUTERS
