Oracle, Groupon, Snap… breaking news on tech job cuts

And it continues. Layoff plans follow one after the other in technology companies as recession risks intensify and the stock market falls. Startups that were never profitable can no longer afford to aim for anything but profit, and well-established companies are looking to cut costs to ride out the storm by refocusing on their core business.

Here are the latest important announcements.

Oracle wants to cut costs by a billion dollars

According to an article in The information published in July, the US cloud giant could launch a plan to cut several million jobs around the world. Field trips have already begun in the US (especially in marketing, advertising and customer service), but projects may also affect Canada, India and Europe. Oracle is reportedly looking to cut costs by $1 billion. Oracle employs approximately 140,000 people worldwide.

Robinhood is cashing in on the collapse of the cryptocurrency

The trading platform will separate 23% of its workforce, or about 700 people, according to TechCrunch, according to the Wall Street Journal. Robinhood already cut 300 positions in April. Robinhood posted a net loss of $687 million in the first half. The boss admitted that his hiring plan was too ambitious in 2021 and the site was hit by the crypto market crash.

This activity is costing her even more, as her cryptocurrency affiliate has just been fined $30 million by New York State Financial Market Police for violating anti-money laundering and cybersecurity regulations. The platform would not have invested enough resources in compliance compared to trading volume.

Soundcloud lays off 20% of employees

Soundcloud announced on August 3 that it is cutting 20% ​​of its workforce in the US and UK, as revealed by Billboard and Variety. The beloved independent artist platform that was on the verge of bankruptcy in 2017 has become profitable in 2020. Last May, she acquired Musiio, a startup that develops artificial intelligence for music recommendations to create playlists.

Groupon sees revenue drop

Groupon’s glory days are long behind us, TechCrunch reports, but it still employs 3,400 people before announcing a 15% reduction in its workforce on Aug. 8. The group shopping site has gradually evolved to focus on market activities. In the second quarter, its turnover fell 42% year-on-year. The major cuts are in business development, sales, recruiting, engineering, and product and marketing, mostly in North America. The company is also closing its direct sales operations in Australia and intends to reduce real estate spending.

Snap in search of profitability

Snap didn’t announce anything, but sources told The Verge that the group is preparing a layoff plan that posted a $422 million loss in the second quarter despite a 13% increase in revenue and a growing number of users (347 million per day). . The company has been hit particularly hard by a new option on the iPhone that allows users to opt out of being tracked by ads. The company employs over 6,000 people worldwide.

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