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Snap Layoffs 2023: What to Know About the Latest SNAP Job Cut

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  • Snap (SNAP) stock is advancing after the social media company announced a new round of layoffs late yesterday.
  • The layoffs mainly impact the company’s product managers.
  • SNAP stock has jumped 25% in the last month.
SNAP stock - Snap Layoffs 2023: What to Know About the Latest SNAP Job Cut

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Snap (NYSE:SNAP), the owner of Snapchat, announced late yesterday that it would conduct a small round of layoffs, largely targeting its product managers. The company is carrying out the layoffs as it looks to  “streamline” its workforce. In early trading, SNAP stock is climbing about 2% after climbing 2.5% yesterday.

More About Snap’s Layoffs

Most of the nearly 20 employees laid off were product managers. According to CNBC, the layoffs were carried out to enable the company to make moves and changes more quickly.

The latest layoffs come after the firm in September dismissed almost 170 of its employees who had worked in its augmented reality (AR) division. And in 2022, the social media company sacked 20% of its workforce.

The firm now employs 5,000 people.

Snap’s Future Plans

Snap is testing an ad-free version of its short video product, Snapchat Plus, which has attracted 5 million subscribers, CEO Evan Spiegel recently said. Also noteworthy is that Snap is utilizing artificial intelligence (AI) to make it easier for developers to create new AR applications, Spiegel said. Snap is looking “to create fast and lightweight models capable of running on devices” and believes that AR can boost its growth going forward.

Finally, Spiegel said that he believes the company has “vast opportunities” in India, where the company has recently hired a number of new employees.

The Price Action of SNAP Stock

SNAP stock has jumped 9% in the last five days and 25% in the last month.

The stock has also had a pretty good year so far in 2023, as it has risen 27% year-to-date.

On the date of publication, Larry Ramer did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for InvestorPlace in 2015. Among his highly successful, contrarian picks have been SMCI, INTC, and MGM. You can reach him on Stocktwits at @larryramer.


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