“Advertisers tend to rise to the proven platforms, like Google or Amazon, where the wallets are.” “When the economy starts to slow, advertising budgets get tight,” said Brent Thill, an equity analyst at Jefferies. But Snap, like Twitter, is especially vulnerable to economic shocks because it is a smaller social media company and relies heavily on one main way of making money.

Meta, the parent company of Facebook and Instagram, and Twitter have also slowed their hiring in recent months. Many social media companies are grappling with the prospect of a recession. It also declined to predict its financial performance for the current quarter because of “uncertainties related to the operating environment.” Snap’s stock price has fallen more than 76 percent since the beginning of the year. Last month, Snap reported its slowest-ever rate of quarterly growth since going public in 2017 and said it would “substantially reduce” its pace of hiring. Privacy changes from Apple have affected its advertising business, and rising inflation and economic uncertainty have made advertisers skittish. Snap, which is popular with teenagers and young adults and has more than 347 million active users around the world, has struggled for months. Snap’s layoffs were reported earlier by the technology news website The Verge. But to older employees who experienced the dot-com bust, it has hardly been a shock. Tech’s Generational Divide: The recent cuts have been eye-opening to young workers.New Parents Hit Hard : At tech companies that spent recent years expanding paid parental leave, parents have felt the whiplash of mass layoffs in an especially visceral way.

Salesforce: The company said it would lay off 10 percent of its staff, a decision that seemed to go against the professed commitment of its co-founder and chief executive, Marc Benioff, to its workers.

A Growing List : Amazon, Alphabet, Microsoft, Zoom and Meta are among the tech giants that have cut jobs amid concerns about an economic slowdown.Layoffs in Big Tech After a pandemic hiring spree, several tech companies are now pulling back.

Snapchat down