The past few months have seen Twitter primed as a takeover target, and now the company is planning to lay off 300 of its staff according to a Bloomberg report.
Citing sources close to matter, the report notes Twitter is poised to cut about 8% of its global workforce and claims the struggling social network is “trying to control spending as sales growth slows".
Sources say an announcement about the job losses may even come before Twitter releases its third-quarter earnings on Thursday (27 October), asserting that planning for cuts is “still fluid,” and the number could change.
Twitter celebrated its 10th birthday this year, but 2016 has been a tough one for the platform due to sluggish user growth and disappointing revenue reports. When the idea of a buyout was floated last month Disney, Salesforce and Google were all rumored to be interested but dropped out one-by-one – with the former reported to have backed off due to the site’s well-documented issues with trolling and online abuse.
In 2015, Twitter chief Jack Dorsey slashed 336 jobs in an attempt to create growth earlier this year, with redundancies coming mainly in the product and engineering functions. Bloomberg said company has declined to comment on the most recent report. The Drum has reached out to Twitter for further comment.
Twitter is scheduled to reveal its most recent quarterly earnings update on 27 October, and could address the matter of acquisition, or its alternatives, then. It’s losses and a 40% decline in share price over the past 12 months have made it harder for Twitter to attract talent with big figures, meaning its losing out to rivals like Apple and Facebook.