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Snap Is Planning To Layoff 20% Of Employee Workforce

Due to significant stock slips, Snap will be laying off at least 20% of employees.

It looks like the heyday of the flower crown is long gone.

Snapchat, the app that once ruled social media is facing some significant challenges and employees are going to be affected.

On August 30, The Verge reported that sources close to the company stated that approximately 20% of Snap’s staff will begin on August 31, 2022.

Snapchat’s parent company, Snap has been bracing for the layoffs for months, with certain departments being more affected than others. For example, its gaming development team for and Zenly, the social mapping app will face deep slashed.

The staff that oversees hardware at Snap and develops tools like which the AR Spectacles glasses (competitor for Google Glass and Meta’s Oculus) and the Pixy camera drone will likely see major shifts as well.

“We are restructuring our business to increase focus on our three strategic priorities: community growth, revenue growth, and augmented reality,” Chief Executive Evan Spiegel said in a statement. “Projects that don’t directly contribute to these areas will be discontinued or receive substantially reduced investment.” 

Earlier this year, Snap posted a loss of $422 million in its Q2 revenue compared to $152 million last year after suffering a $10 billion decline.

The company’s challenges reportedly began when Snap sought to attract other age groups outside of their key zillennial market. Ill-received redesigns and notorious admonishments from celebs shook the app from the top spot.

In the mid 2010’s, Snapchat led the charge in popularizing the “disappearing” feature, whereby users were able to capture moments via video and photographs that lasted 24. hours on their account. Instagram, LinkedIn and other social media platforms soon followed suit.