News, Software

Snap could layoff nearly 100 employees: report

Snap is reportedly planning another round of layoffs, and the company’s engineering team is expected to take the bulk of the cuts, according to a report by Recode.

According to sources familiar with the matter, managers are being asked to identify team members who will be let go, though the timing of these layoffs is unclear.

Business news site Cheddar earlier reported the layoffs Wednesday, which could noted that over 100 people would be cut from the firm.

Cheddar is reporting that the cuts are exclusive to Snap’s engineering team, but one source told Recode that other employees outside of engineering could also be impacted.

The company last month rolled out the redesign of its pioneering photo messaging app. The redesign separated publisher content from content posted by friends and connections.

Snap reported roughly 3,000 employees as of the December quarter and said in its first annual filing that it expected “headcount growth to continue for the foreseeable future.”

Investors don’t seem to be worried about the move. Snap stock was up about 2.5 percent on Wednesday before the news, but has dropped down closer to Tuesday’s closing price.

Snap has recently celebrated its first anniversary as a publicly traded company, however, things are not quite what they envisioned when they bought shares in the hottest tech IPO in years as  bought in the IPO have risen by a dollar, according to Reuters.

Its stock wobbled recently after an app redesign failed to impress many users, including celebrity and entrepreneur Kylie Jenner.

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