Snap has since corroborated these layoffs, which largely affect those on the content squads in the New York and London offices. More than half of the two dozen employees laid off today were part of the content team.
Snap tells TechCrunch that what’s left of the content division will now move to the company’s Venice, California location and that it will continue to hire on the content squad. According to Snap, this is just part of procuring the right people for the job.
These layoffs also may not have been unexpected, as they are part of a reorganization effort to cut costs due to the lackluster growth at the six-year-old company.
Investors have been pressuring Snap to grow its user base, but so far the company has fumbled in key areas such as hardware and a much anticipated app redesign, which has had a delayed rollout to the United States. This redesign has worried some publishers as it may affect their traffic.
Thought Snap didn’t want to comment on when that redesign may arrive in the U.S ., other reports pin it at the end of Q1 this year.
Snap has gone through several layoffs in the last year, letting go several dozen employees over a couple of rounds in the hardware division and in recruiting in late 2017. At the time, founder Evan Spiegel announced in a letter that the company would be slackening hiring efforts in 2018 and that managers would be asked to construct “hard decisions” about squads that weren’t performing well in order to get the company back on track.
It remains to be seen how the new redesign will affect growth and revenue, but Snap seems committed to its content goals.
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