Twitch to lay off 500 employees

The popular streaming platform, owned by trillion dollar company Amazon, is set to lay off roughly 35% of its staff.


The games industry has taken a hit over the last year with numerous companies laying-off staff and the New Year hasn’t slowed that down. The latest company to let go of hundreds of employees is Twitch, with 500 employees, or 35 percent of its workforce, set to be laid off soon.

On January 9, 2024, Bloomberg’s Cecilia D'Anastasio reported that Twitch may be announcing the layoffs of 500 staff members tomorrow. This equates to roughly 35 percent of employees at Twitch, which follows on from the company laying off 400 employees in March 2023.

Twitch logo, white text with black drop shadow on purple background

Source: Twitch

Twitch was acquired nine years ago by now-trillion dollar company Amazon, with D’Anastasio noting that the business remains unprofitable. In fact, Twitch is removing itself from Korea in late February after announcing that the cost of operating in the region is “10 times more expensive than in most other countries.”

The layoffs at Twitch are just another in a long series of layoffs that has rocked the games industry. Last year, Unity laid off employees, Amazon Games did the same, Bungie gutted its community and social teams, Epic Games had a string of layoffs while Naught Dog, Sega, Blizzard, CD Projekt RED, and others also cut employee numbers. Meanwhile, the video game market is projected to reach a revenue of $282.3 billion in 2024 according to

Suffice it to say, starting off the year with a round of layoffs is not a good look. Hopefully 2024 doesn’t continue on in 2023’s footsteps. Be sure to keep it locked to Shacknews as we bring you the latest on the goings on in the video game industry.

Guides Editor

Hailing from the land down under, Sam Chandler brings a bit of the southern hemisphere flair to his work. After bouncing round a few universities, securing a bachelor degree, and entering the video game industry, he's found his new family here at Shacknews as a Guides Editor. There's nothing he loves more than crafting a guide that will help someone. If you need help with a guide, or notice something not quite right, you can message him on X: @SamuelChandler 

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From The Chatty
  • reply
    January 9, 2024 4:35 PM

    Sam Chandler posted a new article, Twitch to lay off 500 employees

      • reply
        January 9, 2024 3:45 PM

        This timeline sucks.

      • reply
        January 9, 2024 3:47 PM


      • reply
        January 9, 2024 3:53 PM


      • reply
        January 9, 2024 4:09 PM

        Who needs staff when streamers are lining up to do all the hard work for peanuts!

        • reply
          January 9, 2024 4:19 PM

          Now that they legalized soft-core porn, the money will print itself.

          • reply
            January 9, 2024 5:01 PM

            that was undone within hours/days of the change you're referring to

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        January 9, 2024 4:21 PM

        These companies suck. They're just doing this to depress labour power.

        • reply
          January 9, 2024 4:25 PM

          why aren't more non-tech companies doing this now too?

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            January 9, 2024 4:29 PM

            They have been. Non tech companies account for at least 30 to 40% of layoffs in the past year. Big ones like GE, Disney, Ford, etc.

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                January 9, 2024 4:43 PM

                Larry Summers is an idiot but attempting to in a single paragraph link Gurner's personal disdain for the working class with Summer's belief in the mainstream economic theory of how unemployment and inflation are linked is pretty stupid but unsurprising for Jacobin. Economists didn't think unemployment and inflation are linked out of some disdain for workers and belief that a certain number of people need to suffer so that bosses can exert more control over them but because they actually thought they had data suggesting a certain amount of aggregate spending power amongst people would lead to undesirable amounts of inflation (which is true in the abstract but seemingly not true specifically in terms of spending power driven entirely by normal wage gains).

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                  January 9, 2024 5:02 PM

                  When people tell you who they are, you should believe them.

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                    January 9, 2024 5:19 PM

                    clearly Larry Summers is an evil wizard for believing a mainstream economic theory on inflation, that's why Obama leaned on him for advice

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                      January 9, 2024 5:46 PM

                      you have more in common with a homeless person than you do with any person of real means in america

                      you operate with such charity for capital

                      depressing labor power is pretty reasonable considering tech labor had the most leverage over the last decade or so

                      needed a good correction

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                        January 9, 2024 5:51 PM

                        I assume Twitch did some employee surveys and looked at attrition data after their last round of layoffs in March 2023 and realized they didn't sufficiently depress the power of their remaining employees so now they're back for more. Hopefully this does the trick and they don't have to cut another 400 in 6 months to teach them a lesson. Wonder when other CEOs outside tech will catch on to this one weird trick so they can stop having to increase wages.

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              January 9, 2024 4:38 PM

              Tech is a tiny portion of the overall market so for non-tech to only account for 30-40% of layoffs suggests there's a tiny number of layoffs outside that sector. Which is in line with what you'd expect given the historically low unemployment rates and great jobs numbers every month.

          • reply
            January 9, 2024 6:06 PM


        • reply
          January 9, 2024 4:54 PM

          US unemployment is about as low as it gets.

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        January 9, 2024 4:22 PM

        Prime subs probably gone soon at this rate. RIP streamers income

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        January 9, 2024 4:27 PM

        Twitch has laid off half its staff in a year. Has it negatively impacted the way anyone uses twitch?

        Honest question. I don't use the service but if they could chop half their workers - is the experience worse for end users?

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          January 9, 2024 4:35 PM

          They screwed up my Twitch Turbo subscription billing though that's probably related to the changes in their pricing/billing model than a staffing issue.

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          January 9, 2024 5:50 PM

          There was some boobs for a while.

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          January 9, 2024 6:24 PM

          They completely pulled out of Korea

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          January 10, 2024 6:35 AM

          This argument gets thrown around a lot wrt tech stuff, but the truth is that you can probably lay off a good chunk of the staff at most software companies, and that company/their software would still function perfectly fine... for a while.

          Written software doesn't just 'break down'. It's not like plumbing or a car that needs constant maintenance. Once it's compiled, it's not going to get worse on its own.

          But feature development will slow. Or if it doesn't, because some PM is pushing hard for more features, then those features will eventually introduce more and more bugs. Less folks will be around with product and domain knowledge to tell why things were done a certain way. Tech debt will pile up, and these things will have a snowball effect.

          And then there's future support. At least in my world (macOS development) things get a pretty big shakeup annually. If WWDC rolls around, and we don't have the headcount to start making sure stuff works well on the new beta, there's a decent chance that our software will start to degrade more and more every year. And maybe macOS 15 won't break it, but maybe macOS 16 will.

          Look at Twitter as an example: elon came in and laid off a shitload of people and everyone said "See it's working perfectly fine!" but gradually there were more and more issues and now the product is completely enshitified.

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          January 10, 2024 8:07 AM

          this is the same question Elon asked about customer service and a bunch of other Twitter features

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        January 9, 2024 4:32 PM

        I didn't realize they had that many employees

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          January 9, 2024 6:01 PM

          This was the first time I was like, "that sounds about the right number of employees for that service..."

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          January 9, 2024 6:11 PM

          Managerial fiefdoms

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        January 9, 2024 4:41 PM

        I bet severance for most will be an inflatable pool and a Pickle Rick

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          January 9, 2024 5:10 PM

          To claim their severance they all have to go jump into a shallow foam pit ass first.

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      January 9, 2024 6:43 PM

      all the laid off workers should just go nude and use their employee access (before it's cut off) to do a mass nude livestream that does a main page takeover.

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      January 10, 2024 2:56 AM

      This makes me unreasonably unhappy and uneasy.

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      January 10, 2024 6:28 AM

      Looks like this was just the tip, Amazon laying off hundreds from Amazon Video and MGM too

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      January 10, 2024 6:40 AM

      Everyone knew this was coming. Amazon bought Twitch to boost their AWS video streaming tech. They got what they wanted out of it and the enschittification began quite awhile back. The obvious thing once the platform gets shittier is to lay off staff and continue to squeeze it until all that is left is a husk of what it once was.

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