Cloud communications company Twilio is eliminating about 17 percent of roles and closing some offices as part of a restructuring effort to focus on profitability.
Technology firms have laid off thousands of workers recently as they brace for a period of lower demand, high interest rates and macroeconomic instability.
The move, which is the second instance of job cuts in five months, sent the company’s share up two percent.
Twilio had just under 9000 employees as of September-end. It is not clear whether the figure includes the impact of retrenchment announced on September 14.
Twilio will also reorganise the company into two units, Twilio Communications and Twilio Data and Applications.
“This is because the two parts of our business – communications and software – are at different lifecycle stages and have different operating needs,” CEO and co-founder Jeff Lawson said in a blog post.
Both the units will include sales, research and development, and operational resources.
Twilio’s revenue had boomed at the peak of the pandemic but the growth rate has since inched lower.
The stock, which fell over 81 percent last year, has, however, gained a quarter of its value this year as technology stocks staged a revival after cost-cuts across the board.