Layoffs in the tech industry at a high leveL18. October 2023
Layoffs in the tech industry at a high level
1. Berlin, October 18, 2023
Half of the employees at Bandcamp, the music distribution platform, were laid off this week shortly after the company was acquired by Songtradr.
In a turbulent year for the tech sector, the number of layoffs has skyrocketed. More than 1,060 tech companies laid off 243,778 employees, more than the 164,769 for all of 2022, although there has been a significant decline since layoffs peaked in January.
Epic Games acquired Bandcamp, an indie music platform, in 2022 for an undisclosed sum and sold it to Songtradr a year later. Songtradr, a music licensing company, has now expanded the job offer to just 60 of Bandcamp’s 118 employees. In an email to remaining employees, Songtradr CEO Paul Wiltshire revealed financial challenges and cited rising operating costs that make Bandcamp’s business model unsustainable.
Despite hopes that tech layoffs are coming to an end, several major tech companies announced job cuts this month. Qualcomm, the semiconductor and mobile phone giant, is laying off around 1,258 employees as part of its restructuring efforts, while LinkedIn is going through its third round of layoffs in 2023, eliminating 668 jobs.