In the last fifth fair (11), the Discord destroyed 17% of its staff, a total of 170 people. In a statement sent to employees, Jason Citron, CEO of the platform, justifies that the lack of results from hiring is faster than the company's own growth. The reason for the Discord layoff was revealed on Twitch a day earlier.
On the fourth fair, Twtich, which is owned by Amazon, announced a 35% loss of its staff of officials — something around 500 people. Dan Clancy, CEO of Twitch, said the decision was made because the “staff of employees is larger than the size of Twitch's business.” Now we compare the situation of Twitch and Discord, apart from their similarity to each other, we see that the two are going through a scenario similar to the big techs between 2022 and 2023.
A Twitch and Discord, dois services with non-public non-gamer focus, have had a high growth during the beginning of the Covid-19 pandemic. As people are isolating at home, they attend lives on Twitch and play together with friends on Discord, which is part of the routine of many people. Therefore, as the time of day, the time of use of these platforms ended up decreasing and all those contracts to accompany the growth seemed unnecessary.
Discord sent that as big techs passed in the last year
No statement sent to officials, CEO Jason Citron explains that Discord is growing rapidly, but due to work increasing five times since 2020. However, Citron says, the platform that has more projects, only that the operation is less efficient.
As he told Twitch in the fourth fair and as big techs between 2022 and 2023, Citron emphasizes that the decision was also made with no long-term in mind. “We are confident that this will put us in the best position to continue building a strong and lucrative business,” says the CEO. Second source The Vergeor Discord hopes to start making profits this year.
In the situation of Discord and Twitch we raise a question: will it be that now some of the gamer companies will pass through the layoff phase?
With information: The Verge
Discord fires 170 employees and says the company is losing efficiency
