Netflix cuts global workforce by 6%

Netflix announced a major reduction in its global workforce on October 14, cutting approximately 6% of its total staff. The move is part of a broader effort to streamline operations and improve financial performance across the company.

Gaming division hit hardest

The video game division, Netflix Games, was particularly affected, with nearly 57 positions eliminated. This follows a series of closures and restructurings within the company's gaming branch, including the liquidation of the California studio Night School.

Multiple studio closures

The Finnish branch Moonloot and Boss Fight Entertainment were also closed as part of the restructuring. The Spry Fox team, known for Baba Is You, opted for independence by the end of 2025, and an internal AAA gaming studio was dissolved before producing any games.

Leadership change and ongoing challenges

The restructuring comes as Netflix seeks to consolidate profitability, with layoffs impacting several key sectors. The reclassification document shared on LinkedIn lists 57 employees as "let go." The company's new leadership, under Alain Tascan, a former Epic Games executive who replaced Mike Verdu in 2024, continues to face challenges in rationalizing video game investments.

Financial results to provide clarity

The third-quarter financial results, scheduled for October 20, are expected to provide more insight into the future of the gaming division. These results may clarify whether the restructuring will lead to improved performance or further adjustments.