Another tech bubble bursts: 2022 was a rough year for Silicon Valley workers.
The year 2022 was a difficult one for those working in the technology industry in Silicon Valley.
The tech industry has experienced virtually unstoppable expansion over the past five years, but in 2022 it will encounter an immovable object: a global economic slowdown.
This year, both large and small IT companies have shed tens of thousands of jobs, with executives citing inflation, rising interest rates, and a decline in digital advertising sales as factors pressuring their financial outlooks.
The staggering scope of the layoffs has affected every aspect of the technology industry, from farming robots and bitcoin to social media and semi-autonomous automobiles.
During the current economic downturn, the IT sector has been impacted the worst. NBC News calculated that over 89,000 individuals have lost their jobs this year, based on a tally of layoffs at organizations that eliminated more than 100 positions.
The impact of Silicon Valley’s firing spree is already being felt as far away as Kenya and Nepal https://t.co/2HicjYsGBr
— TIME (@TIME) November 21, 2022
According to Layoffs.fyi, a project founded by San Francisco entrepreneur Roger Lee, the number of tech company layoffs this year has risen to over 137,000. This figure does not include jobs lost at smaller tech companies, which appears to have pushed the total number of tech company layoffs to this year to more than 137,000.
Here is a list of the layoffs impacting the IT industry this year, with more than a month to go before the new year.
Hewlett-Packard: 4,000 – 6,000
The computer manufacturer announced in a statement on November 22 that it expected to cut its global workforce by between 4,000 and 6,000 employees over the following few years.
According to CNBC, a week after billionaire Elon Musk purchased the microblogging service, he lay off around half of Twitter’s workers on November 4. According to Business Insider’s November 21 report, Musk later stated that the company’s economic outlook was “gloomy,” and he continued to lay off employees until only 2,300 remained.
Another tech bubble bursts: 2022 has been brutal for Silicon Valley workers: The tech industry has enjoyed seemingly unstoppable growth over the past five years, but in 2022 it finally hit an immovable object: a slowing worldwide via NBCNews https://t.co/JxYrapSyDy
— Jeffrey Levin 🇺🇦 (@jilevin) November 28, 2022
According to an email obtained by CNBC, the online used auto company said on November 18 that it will lay off 1,500 employees. According to a securities filing, the company conducted another wave of layoffs affecting 2,500 employees in May. Some learned through Zoom calls.
On November 18, the manufacturer of autonomous delivery cars notified its employees via email that it will be laying off 20% of its workforce, or approximately 300 “Nurons.”
CNBC reported on November 17 that the online retail behemoth is in the process of laying off approximately 10,000 business and tech staff, while the overall number of affected personnel is uncertain and the process will continue through 2023.
On November 3, Amazon ceased corporate hiring. The firm declined to comment beyond a blog post published on November 17 by CEO Andy Jassy, who did not offer exact numbers.
The entertainment platform announced on November 17 that it was eliminating 200 roles, resulting in a 5% reduction in headcount expenses.
The platform for purchasing homes announced two rounds of layoffs on LinkedIn on November 17 and June 23. According to the industry newspaper Inman, 280 individuals were affected by the layoffs.
The networking startup informed the Silicon Valley Business Journal on November 16 that it was laying off approximately five percent of its workforce.
The manufacturer of workout equipment, including the NordicTrack brand, informed The Salt Lake Tribune on November 14 that it was laying off twenty percent of its workforce, which the newspaper estimated to be approximately three hundred people.
A representative from iFit refused to clarify whether the computation was accurate.
The maker of prefabricated building materials — a sector known as “prop tech” — informed the Silicon Valley Business Journal on November 14 that it was laying off 30 percent of its workforce as part of a strategic move.
According to remarks provided to MobiHealthNews, the health testing and research firm said on November 14 that it was laying off 500 employees, just a few months after eliminating 250 jobs and losing its president.
In a report with the Securities and Exchange Commission on November 10, the developer of automation software said that it was laying off 6% of its personnel. Earlier, on June 24, the company disclosed in a securities filing that it was laying off 5% of its 4,200-person workforce.
The social media corporation, which owns Facebook and Instagram, announced layoffs on November 9. Mark Zuckerberg, Facebook’s chief executive officer, blamed the sluggish economy for the decline in ad sales.
The app that allows celebrities to sell customised movies fired off 80 employees on November 9, according to The Information and a business statement. In May, CEO Steven Galanis announced the termination of 87 employees.
Watch: Amazon, Meta, Netflix… tech companies are laying thousands of workers. We explain why it’s happening now, and why the job losses are concentrated in Silicon Valley. https://t.co/QMIN5QpxGJ
— The Wall Street Journal (@WSJ) November 26, 2022
AvantStay, a website for holiday rentals, has announced two rounds of layoffs this year, including 144 employees, or 22% of the staff, on November 9, according to industry news site ShortTermRentalz. AvantStay failed to respond to a request for confirmation of the numbers.
The car insurance company informed shareholders in a letter dated November 9 that it was laying off 20% of its workforce. In addition to the 330 jobs lost in January, the Columbus Dispatch reported a total of 137 job losses.
The company, which develops software for lenders, has declared layoffs in regulatory filings three times this year: 200 in April, 220 in August, and 100 on November 9.
The Seattle firm, which provides a service for homebuyers, experienced two rounds of layoffs this year, including one in July that affected 20% of staff, according to GeekWire, which also cited a source who stated 200 workers were affected.
On November 9, it cut off another 40% of its workforce, according to a LinkedIn post. Flyhomes declined to provide any information or comment.
The real estate website and service cu t its head count by 862 on Nov. 7, including by eliminating its “iBuying” service RedfinNow, according to a securities filing. According to an earlier regulatory filing, the company slashed 470 workers in June.
The commercial software company that occupies the tallest building in San Francisco laid off fewer than 1,000 employees on November 7, according to CNBC. As of January, it has 73,541 employees. Salesforce did not respond to a request for an exact figure.
As thousands of job cuts roil Silicon Valley, workers confront the post-boom reality https://t.co/zmBrA5NhQO
— National Post (@nationalpost) November 24, 2022
The software company that specializes in customer service said on November 7 that it would lay off 5% of its employees. SFGate stated that 350 jobs were disrupted in all. There was no response from Zendesk to a request to confirm the number.
According to a memo reported by The Wall Street Journal, the ride-hailing app’s corporate offices laid off 60 employees in July and 683 employees on November 3, according to a securities filing. The second round affected 13% of the business.
The online payments company laid off 14% of its workforce on November 3, citing “a different economic climate” including inflation and energy shocks. CNBC estimated that the cuts affected approximately 1,100 people. Stripe declined to confirm or provide exact figures for the calculation.
The home-flipping business, facing a turbulent housing market, said in a blog post that the cuts Nov. 2 came to 18% of its workforce.
The company, which develops software for businesses to manage subscriptions and billing, cited market conditions as the reason for the layoffs, TechCrunch reported on November 2, citing company confirmation.
The online bank announced Nov. 2 it was laying off 12% of its workforce, according to a statement provided to CNBC.
The internet-based lender cited a “challenging economy” in cutting 7% of its workforce Nov. 1, according to TechCrunch, which cited confirmation from the company.
The Information reported on November 1 that the software developer had laid off a third of its staff. Gem did not respond to a request to confirm the numbers.
A startup focusing on robotics for farming, Fifth Season shut down and laid off the entire company, the Pittsburgh Business Times reported Oct. 29. The company did not respond to a request for confirmation.
The company, which makes booking software for gyms and yoga studios, laid off about 400 employees around Oct. 26, according to The Pragmatic Engineer, a newsletter. Mindbody did not respond to a request to confirm the number.
The real estate website cut 300 positions around Oct. 26, or about 5% of employees, as part of what it called “our normal business process,” TechCrunch reported, citing confirmation from the company.
The maker of a financial platform for businesses cut 42% of its workforce, according to CTech Oct. 25, citing a letter to employees.
The cybersecurity company said that the cuts represented 14% of its workforce, CTech reported, citing a company statement Oct. 24. It was the second round of layoffs this year.
A startup that provides mental health services, Cerebral cut 20% of its workers Oct. 24, Insider reported. Insider cited an anonymous former employee as saying that, as part of the cuts, about 400 care counselors were laid off. Cerebral confirmed the 20% figure but declined to comment on the total number of people affected.
The maker of customer experience software cut 10% of its staff, or about 120 employees, the Austin Inno reported Oct. 21. Khoros did not respond to a request for confirmation.
Months after eliminating 1,500 staff members in July, the delivery service said Oct. 20 it was cutting another 250 jobs in October. It also had layoffs around March, putting the number close to 2,000, Bloomberg News reported. Gopuff did not respond to a request to confirm that number.
The banking software startup went through a restructuring, the Salt Lake Tribune reported Oct. 19. MX did not respond to a request for confirmation.
The software and cloud-computing company had two reported rounds of layoffs this year: one in October affecting fewer than 1,000 people, Axios reported Oct. 17, and one in July that eliminated less than 1% of its 181,000 employees. In an email to NBC News, Microsoft declined to provide a specific total.
A real estate tech firm, Clear Capital cited rising interest rates for laying off 27% of staff, TechCrunch reported Oct. 14. TechCrunch calculated that 378 people could have been affected, given a previously announced head ount of 1,400 employees. Clear Capital confirmed the 27% figure to NBC News but declined to confirm the number of people affected.
Tech workers, long accustomed to secure employment in a booming industry, are now grappling with job losses and a possibly enduring downturn https://t.co/M5CW6JwpuN
— Bloomberg Technology (@technology) November 23, 2022
The maker of delivered meal kits said it was closing a facility in the San Francisco Bay Area, Business Insider reported Oct. 14, citing state regulatory filings.
A startup that allows people to co-own vacation homes, Pacaso slashed 30% of its workforce, industry publication Inman reported Oct. 11. Pacaso confirmed the numbers to NBC News.
The maker of business financial software cut 11% of its staff, TechCrunch reported Oct. 11, citing confirmation from the company.
A website for health coaching, Noom laid off 10% of its staff, TechCrunch reported Oct. 11. Noom did not respond to a request for confirmation.
The plant-based food manufacturer said it cut about 19% of its workforce, according to an Oct. 10 regulatory filing.
The parent company of survey site SurveyMonkey said in an Oct. 10 regulatory filing that it had laid off 11% of its staff. It said it had 1,600 employees as of Dec. 31, 2021. Momentive declined to confirm the total number of people affected.
The maker of stationary bicycles announced a fourth round of layoffs this year, cutting 500 jobs Oct. 6. The biggest cut was in February, when Peloton slashed 2,800 jobs, Engadget reported. Peloton did not respond to a request to confirm the total.
The apartment-rental site said it was restructuring after a move from San Francisco to Birmingham, Alabama, according to an Oct. 6 report from Alabama.com, citing confirmation from the company.
The home-buying and home-selling website told the Deseret News on Oct. 4 that it had laid off 40 employees, after previously laying off 119 employees in February.
The health testing and diagnostics company had four rounds of layoffs this year, including one for 175 people and another for 150, TechCrunch reported, saying the most recent was Sept. 29.
Truepill Chief Growth Officer Doreen Bortel said in an email to NBC News that the TechCrunch figure was not correct and that while Truepill had made “workforce adjustments this past year, our head count has increased year over year.” She declined to provide an exact figure of people laid off.
The website specializing in electronic agreements cited a general restructuring for eliminating 9% of its workforce, according to a Sept. 26 regulatory filing. SFGate estimated that 671 people were affected. DocuSign confirmed the 9% figure but declined to give an absolute number.
The crypto firm told employees Sept. 22 that it was cutting about a third of its workforce, The Wall Street Journal reported. NYDIG did not respond to a request for confirmation.
The online lender went through multiple rounds of layoffs this year, including one in September that brought its head count down to about 6,000 from 7,000 at the start of 2022, TechCrunch reported, Sept. 22, citing a company spokesperson.
The electric aviation startup said Sept. 21 that it had decided to close up shop, and it warned that layoffs would go into effect in November, SFGate reported, citing state regulatory filings.
A startup that offered Covid-19 testing said Sept. 20 that the cuts were part of a change in priorities, Modern Healthcare reported, citing state regulatory filings.
The company, which specializes in communications tech for businesses, laid off 11% of its workforce, according to a Sept. 14 regulatory filing. Twilio had 7,867 employees as of Dec. 31, CNBC reported. A spokesperson for Twilio said the company would not confirm the number of people affected.
The cuts announced affected 6% of the digital advertising company’s workforce, CTech reported Sept. 13, citing a letter to employees.
The owner of Snapchat said in August it was cutting 20% of its staff of more than 6,000 employees because of slowing ad sales, CNBC reported Aug. 31, citing company confirmation. It also scrapped plans for a photo-taking mini-drone named Pixy.
The telemedicine company announced the cuts Aug. 30 in a securities filing, affecting 16% of its staff.
The online retailer said Aug. 23 that it would liquidate and gradually lay employees off as it winds down the business, CNBC reported, citing a company memo.
The homebuying tech company laid off 250 workers Aug. 19 on top of 310 job cuts in May, affecting about a quarter of its workforce in all, according to Inman, a real estate news site.
The online retailer of furniture cut about 5% of its head count, according to an Aug. 19 regulatory filing, as growth slowed from a pandemic-era boom in online shopping.
The startup, which makes software for other software developers, announced the cuts Aug. 18 in a securities filing.
The Aug. 17 layoffs at the cybersecurity company affected 14% of its workforce, TechCrunch reported, citing a company co-founder.
An online marketplace for health insurance, GoHealth told the Chicago Sun-Times on Aug. 11 that the cuts affected about 20% of its workforce.
The cloud computing company said in a securities filing Aug. 9 that the layoffs represented about 4% of total employees.
The coupon company laid off 15% of its workforce Aug. 8, citing “overall business underperformance,” TechCrunch reported with confirmation from the company.
The vehicle marketplace said in a securities filing Aug. 8 that it had cut 337 positions since announcing a restructuring in May.
The maker of robot vacuum cleaners cut 10% of staff after Amazon bought the company, GeekWire reported Aug. 5, citing company confirmation.
The video game developer said Aug. 4 it had cut 17% of its head count, citing the “challenging global economy,” VentureBeat reported. Jam City did not respond to a request for confirmation of the total number of people affected.
The biotech company laid off 8% of staff, GenomeWeb reported Aug. 4. 10x Genomics confirmed the numbers to NBC News.
The health insurance marketplace announced the job cuts Aug. 3, Miami Inno reported, citing state regulatory filings.
The home-and-office security company said in a statement Aug. 2 that a cut of 115 jobs affected 37% of staff. An earlier round of job cuts in May affected 130 people.
The stock-and-crypto trading app said it slashed 23% of its workforce Aug. 2, affecting about 800 people, SFGate estimated. It was the second round for the company this year, after cutting 340 people in April. Robinhood did not respond to a request for confirmation of the total.
A startup that allows homebuyers to make cash offers for a fee cut one-third of its staff, Inman reported July 28, citing company confirmation.
The maker of electric vehicles including delivery vans said in July it was laying off about 6% of its workforce, CNN reported July 28, citing an email from management.
The e-commerce website said July 26 it was laying off about 10% of its workforce, citing a slowdown in the growth of online shopping after a coronavirus-fueled boom, CNBC reported.
The cybersecurity firm told employees July 25 that it was cutting 22% of total staff, according to a securities filing.
The maker of electric bikes had two rounds of layoffs this year: 63 employees July 21 and 100 employees April 12, according to GeekWire, which cited company confirmation.
The cryptocurrency exchange founded by the Winklevoss twins cut 7% of employees, or 68 people, around July 18, TechCrunch reported. A month earlier it had cut 10%. Gemini did not respond to a request for confirmation of the total.
The genetics startup said in a July 16 securities filing that it was laying off more than 1,000 employees.