Streaming giant Netflix is reportedly planning to cut nearly 5 per cent of its workforce, a move that could affect around 800 employees, with an official announcement expected as early as next week. The company had approximately 16,000 full-time employees at the end of 2025. Netflix has not commented on the reported layoffs.
The potential job cuts come as the streaming platform faces growing competition from rival entertainment companies and YouTube, which continues to attract viewers and advertising spending. Netflix has expanded into advertising, live programming and gaming to diversify its revenue sources.
The company's last major round of layoffs took place in 2022, when it eliminated hundreds of jobs amid slowing growth and subscriber losses. The reported cuts come amid a broader wave of layoffs across the global technology industry, with companies reducing costs, restructuring operations and redirecting investments towards artificial intelligence (AI), cloud computing and data-centre infrastructure.
Oracle cuts 21,000 jobs amid AI investment
Oracle reduced its workforce by approximately 21,000 employees, or 13 per cent, during the fiscal year ended May 31, 2026, according to its annual report.
The company had around 141,000 employees at the end of the fiscal year, compared with approximately 162,000 a year earlier. Oracle also reported $1.84 billion in severance payments and other exit costs linked to restructuring.
The workforce reduction comes as Oracle increases spending on cloud infrastructure and AI computing capacity to meet rising demand. The company has cited management and product changes, strategic shifts, acquisitions and performance-related factors as reasons for workforce adjustments.
Amazon cuts jobs across global teams
Amazon announced another round of layoffs on October 7, affecting fewer than 1,000 employees, primarily in its Stores business. The cuts affected teams across multiple countries, including India, the US and the UK.
The company said it had adjusted parts of its Stores business to create an organisational structure better suited to its priorities. The latest reductions follow a broader restructuring that has affected approximately 30,000 corporate roles across earlier rounds.
Amazon is simultaneously preparing substantial investments in AI infrastructure, including data centres and chips. The company is seeking to streamline operations and improve efficiency while expanding its capabilities in AI and cloud computing.
Meta reduces workforce while shifting towards AI
Meta has also announced major workforce reductions in 2026. The Facebook and Instagram parent company cut approximately 8,000 jobs in May, representing around 10 per cent of its workforce, according to reports.
The company has been reorganising teams and redirecting resources towards AI initiatives. Meta's strategy includes substantial spending on AI infrastructure, computing capacity and specialised talent as it competes with other technology companies.
The restructuring reflects the wider industry trend of reducing certain roles while investing in areas expected to drive future growth.
Microsoft, Dell and PayPal among other companies cutting jobs
Several other technology companies have announced significant workforce reductions this year.
- Microsoft: The company cut approximately 4,800 jobs in 2026 as part of organisational restructuring and efforts to reallocate resources across its businesses.
- Dell: The technology company reported around 11,000 job cuts amid efforts to streamline operations and adjust its workforce.
- PayPal: The digital payments company recorded approximately 4,760 job cuts as part of the industry's broader restructuring trend.
These figures are based on reported 2026 layoffs tracked by Layoffs.fyi and compiled by Business Standard. The reasons for individual reductions vary, including cost control, organisational changes and shifts in business priorities.
Block links layoffs directly to AI
Financial technology company Block announced plans in February 2026 to eliminate around 4,000 jobs, nearly half its workforce.
Chief executive Jack Dorsey attributed the decision partly to advances in AI tools, arguing that the technology enabled the company to operate with smaller teams and more efficient workflows.
The announcement highlighted how some companies are explicitly connecting workforce reductions to AI-driven productivity gains. However, AI is not the sole explanation for the industry's layoffs, with cost pressures, earlier overhiring and restructuring also contributing to job losses.
Why are technology companies laying off employees?
The latest layoffs reflect a combination of financial pressures, organisational restructuring and changing technology requirements. Companies are seeking to reduce operating expenses while directing more capital towards AI systems, data centres and cloud infrastructure.
AI tools are also changing how some tasks are performed, allowing businesses to automate certain processes and reorganise teams. At the same time, competition and slower growth in some markets are prompting companies to reassess staffing requirements.
The trend does not mean every job cut is directly caused by AI. Several companies have cited broader business priorities, management changes and cost-control measures.
With Netflix reportedly preparing another round of layoffs, the developments underline the pressure facing technology and media companies as they balance workforce costs, competition and investment in emerging technologies.
