Snap’s hardware group, which is responsible for its AR Spectacles eyewear and the Pixy camera drone, which was recently scrapped after just a few months on the market, may also face layoffs. Jeremi Gorman, Snap’s chief business officer, is leaving to oversee advertisements for Netflix, thus the company’s ad sales team is also being revamped.
Though the extent of the layoffs is large, it should not be surprising: Snap’s stock price has dropped about 80% since the beginning of the year, and the firm said in May that it will restrict recruiting and seek methods to reduce expenses. It subsequently reported abysmal second-quarter profits and said that it would not anticipate third-quarter results.
