Twilio, the leading API provider for SMS delivery and multi-channel communications, has announced an additional 5% reduction in workforce, comprising nearly 300 employees. This marks the third time that Twilio has implemented layoffs, having let go of 7,800 employees last September and another 1,500 at the beginning of this year.
CEO Jeff Lawson rationalizes these actions as necessary to optimize operational costs and ensure the company’s long-term profitability. In this announcement, he also acknowledges that one of the reasons for the layoffs stems from the acquisition of Segment in 2020, a deal worth a staggering $3.2 billion. Despite the hefty price tag, the returns for the company did not meet expectations.
TLDR: Twilio, the API provider for SMS and multi-channel communications, has announced a 5% reduction in staff, with 300 employees affected. This is the third round of layoffs, partially attributed to the costly acquisition of Segment. CEO Jeff Lawson emphasizes the need for cost efficiency and future profitability.
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