Tech giants have laid off nearly 150,000 employees in the past year. 

We can still remember tech's peak during the pandemic between 2020 and 2021. Companies have since been experiencing a need for digital transformation, tech talent and innovation. Yet, today tech giants are facing a wave of job cuts. What's going on? 

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Below, you can find a recap of the layoffs at these companies: 

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As you can see, these companies are facing challenges that call some positions into question. And yet, more than a year ago, their companies and workforces experienced strong growth. Amazon and Meta had both doubled their staff post-pandemic and Microsoft and Google also hired thousands of additional employees. 

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Why have we come to this? 

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The tech world is facing a lot of challenges internationally right now. We can simply start by mentioning the war in Ukraine which has impacted many industries with a general rise in prices. Naturally, consumers are focusing on basic necessities and companies are facing a slowdown in demand. 

This slowdown is also felt in advertising demand. Companies have had to cut back on their advertising budgets as a result of this price increase. Thus, the business of the tech giants based on advertising is strongly impacted.

Interest rates in the United States are also facing a strong growth penalizing this sector which is very greedy financially due to their innovation and differentiation. These companies have to make sacrifices in order to focus on their development.  

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Is this the end of tech? 

As you may doubt, these companies are not on the verge of bankruptcy and this is not the end of tech - it's just the beginning! 

The tech industry is constantly changing. Like consumers, companies are also focusing on their basic needs.  These layoffs represent a reallocation of resources into new and more fruitful areas. Now we just have to wait for the results!

On your side, there is a sea of qualified tech talent looking for new jobs. Are you looking to find them? Contact us and we'll help you create and engage these tech talent communities.

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