Snap’s decision-making process is said to be too slow. With almost 20 fewer product managers, Snap hopes to get to cruising speed.
Snap, the company behind the social media platform Snapchat, is downsizing. The company lays off according to The Information “almost twenty product managers”. The layoffs are part of an attempt to restructure the company. In recent weeks, there have been more cuts and shifts in the workforce.
A Snap spokesperson told The Information that the layoffs should ensure that decision-making processes become faster. By firing almost twenty product managers, fewer signatures are required for decisions. Moreover, the layoffs also reduce the social media company’s expenses. The company would like to use the resources that are released for the “most important priorities”.
The layoff has nothing to do with the success or failure of a particular product. Snap will certainly not cut back on its offering: everything Snapchat offers today will remain part of the application for the time being.
Financial recovery despite war
At the same time, Snap sees that its financial results are stabilizing. After two less good quarters, turnover for Q3 2023 is expected to have increased by 5 percent. The company thus raises $1.19 billion. Still, the company warns its investors: the advertising business is not yet running at full speed. It could also take a while before that is the case again. Advertisers are holding back their social media campaigns due to the war in Gaza. There is a lot of misinformation about this on many social networks. Advertisers prefer not to see their advertising message appear next to fake news.
What the further consequences of the layoffs will be remains to be seen in the future. In any case, Snap has not yet announced any new services or features to the public.
