Netflix is cutting approximately 6% of its workforce, or about 1,000 employees, in its largest round of layoffs since 2022 as the streaming company redirects resources while competition for viewers intensifies.
Most of the reductions are expected to affect product, technology, legal and human-resources teams.
Netflix had approximately 16,000 employees at the end of 2025.
The company confirmed the cuts and said it continues to invest aggressively in areas it considers strategically important while remaining on track to meet its full-year financial forecast.
The layoffs come at a complicated point for the streaming business.
Netflix remains one of the world’s dominant subscription-video platforms, but paid streaming services are competing increasingly with free services such as YouTube for consumer attention.
The company has also expanded beyond traditional subscription streaming through advertising, live programming, sports and gaming as it searches for additional sources of revenue and engagement.
Netflix shares have fallen roughly 25% in 2026, reflecting investor concerns about whether the company can sustain the growth rates that powered its earlier expansion. The shares were modestly higher Wednesday after news of the job reductions.
The workforce reduction does not by itself indicate that Netflix expects a financial contraction. Management said the company remains strong and growing.
Instead, the cuts point to a sharper allocation of resources as Netflix balances spending on technology, content and newer businesses against slower growth in more mature areas of its operation.
Investors will get the next major update when Netflix reports quarterly results.
