The wave of layoffs in the tech industry in 2024 shows no signs of slowing down. After massive layoffs by tech companies during 2022 and 2023, the trend continues this year as well. According to independent layoff tracker Layoffs.fyi, as of August 30, 2024, 422 tech companies have laid off 1,36,782 employees.
Not just small firms, big tech companies like Apple, Microsoft and Google are also reducing their workforce this year, continuing after announcing mass layoffs last year. These companies are reducing their workforce on a large scale, reflecting broader industry trends driven by cost cutting, restructuring efforts and strategic shifts towards emerging technologies like artificial intelligence (AI).
These companies have laid off people this month
Apple is the latest big tech player to announce job cuts, reportedly laying off about 100 employees on its digital services team. The layoffs will affect employees on the company’s Books and News teams, signaling a potential shift in Apple’s digital content strategy.
Earlier in May, Apple laid off 614 employees in California following the closure of a long-running electric vehicle (EV) project.
GoPro
GoPro, known for action cameras and related technologies, has also announced plans to reduce its total workforce by about 15 percent before the end of 2024. This restructuring effort will reportedly affect about 139 employees, as the company tries to cut costs and refocus on its core business amid tough market conditions.
Sonos
Audio technology company Sonos confirmed another round of layoffs, laying off 100 employees, or about 6 percent of its workforce. Sonos had already reduced its workforce by 7 percent in 2023.
Cisco
Networking giant Cisco is also planning another round of layoffs this year, with reports of thousands of jobs being eliminated. The company had already laid off more than 4,000 employees in February 2024, part of a broader restructuring initiative aimed at better aligning its business with current market conditions and future growth prospects.
Intel
Chipmaker Intel announced its biggest layoffs of the year earlier this month, cutting 15,000 employees, representing 15 percent of its total workforce. CEO Pat Gelsinger said the layoffs were due to slower-than-expected revenue growth and the need to better position the company for future tech trends such as AI.
Microsoft
Meanwhile, Microsoft continued its downsizing trend into 2024, with multiple rounds of job cuts affecting various divisions. In January, the company laid off 2,000 employees from its gaming unit following its acquisition of Activision Blizzard. Subsequent layoffs targeting Microsoft’s cloud business Azure, the HoloLens mixed reality segment, and product and program management roles occurred in June and July.
What is the reason for the layoff?
The series of layoffs at these major tech companies reflects a broader trend in the industry, driven by cost-cutting measures, strategic shifts toward AI, and the need to adapt to post-pandemic market realities. Many companies had overhired employees during the pandemic, and are now trying to reduce their workforce to balance costs with future growth prospects.
Furthermore, the rapid rise of a transformational technology such as AI has prompted many companies to reallocate resources and reorganize their operations to better compete in this emerging field.
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