Snapchat's parent company "Snap" has laid off 1,300 employees

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Snap, the company that owns the social network Snapchat , has laid off 20% of its workforce, around 1,300 employees . Due to the company's results, as The Guardian points out . The American company seeks to focus on increasing the number of sales and users of its star product, after reporting lower-than-expected revenues. Snapchat, which has 347 million users.

The company is laying off 1,300 employees and cutting back on projects like augmented reality glasses, which were still just prototypes. This is happening amid a social media kenya phone number data advertising slump. Snap CEO Evan Spiegel said the 8% growth was “well below” the company’s expectations. Snap expects the “bad times” for social media advertising to continue well into next year.

"Unfortunately, given the low rate of revenue growth, it has become clear that we must reduce our cost structure to avoid further significant losses ," Spiegel added.

The American company is cutting its workforce by 20% from its 6,400 employees . It will cut investments in areas such as mobile games and cancel its "Pixy" drone camera . It is also closing its Originals division , which has produced content for artists such as Megan Thee Stallion and Anthony Joshua.

The company has been concerned about profits since last May , followed by disappointing results in July. This is due to supply chain disruptions, labor shortages and high inflation , notes journalist Dan Milmo . Snap shares are up 9.2% (to $10.93), as news that the company will reduce investments in some areas has reassured investors.