Tech Industry Faces Continued Layoffs in 2025, Impacting Over 22,000 Workers So Far
The tech industry experienced a significant wave of layoffs in 2025, continuing the trend from the previous year. According to independent layoffs tracker Layoffs.fyi, over 150,000 jobs were cut across 549 companies in 2024. This year, more than 22,000 workers have lost their jobs, with the highest number of layoffs occurring in February, where 16,084 employees were affected. The layoffs span various sectors, from tech giants to startups, reflecting broader economic challenges and a shift towards AI and automation. Major Layoffs in May 2025 Amazon: Amazon is reportedly cutting around 100 jobs from its devices and services division, impacting teams working on the Alexa voice assistant, Echo smart speakers, Ring video doorbells, and Zoox robotaxis. Since 2022, the company has downsized by approximately 27,000 employees to reduce costs. Microsoft: Microsoft announced it will cut over 6,500 jobs, or 3% of its global workforce. As of June, the company had about 228,000 employees. This represents one of the company's largest layoffs since 2023 and follows discussions about additional cuts to middle management and non-coders. Chegg: Chegg, a San Francisco-based edtech startup, plans to lay off 248 employees, or about 22% of its workforce, to reduce expenses and improve efficiency. The company has seen a decline in web traffic as students increasingly turn to AI tools for learning. Match: Match is reducing its workforce by 13% as part of a reorganization aimed at cutting costs, improving margins, and streamlining its operations. CrowdStrike: The cybersecurity firm CrowdStrike will lay off 5% of its global workforce, or around 500 people, to enhance operational efficiency and achieve its goal of $10 billion in Annual Recurring Revenue. General Fusion: This Vancouver-based company, developing fusion energy technology, cut about 25% of its workforce. General Fusion has raised $440 million from investors, including Jeff Bezos and Temasek. Deep Instinct: The Israeli cybersecurity startup Deep Instinct reduced its headcount by 20 employees, or 10% of its total workforce. This follows a similar round of layoffs in April 2023. Notable Layoffs in April 2025 NetApp: NetApp is reportedly eliminating 700 jobs, or 6% of its total workforce, to reorganize for operational efficiency. The company, based in San Francisco, provides data storage, cloud services, and CloudOps solutions. Electronic Arts (EA): EA is planning to let go of approximately 300 to 400 employees, including around 100 at Respawn Entertainment, to focus on long-term strategic priorities. This decision was reported by Bloomberg. Expedia: Expedia announced another round of layoffs affecting around 3% of its employees, primarily mid-level positions in the product and technology teams. This follows a previous round of cuts in March, where hundreds of employees from the marketing team were let go globally. Meta: Meta is laying off over 100 employees in its Reality Labs division, responsible for virtual reality and wearable technology. The job cuts impact developers working on VR experiences for Meta’s Quest headsets and hardware operations. Intel: Intel announced a massive layoff, planning to cut more than 21,000 employees, or about 20% of its workforce, in April. The move was made ahead of Intel's Q1 earnings call led by newly appointed CEO Lip-Bu Tan, who succeeded longtime CEO Pat Gelsinger. Significant Layoffs in March 2025 Northvolt: Northvolt, the Swedish battery maker, laid off 2,800 employees, affecting 62% of its total workforce. The company filed for bankruptcy just weeks before the layoffs. Block: Block, the fintech company formerly known as Square, let go of 931 employees, or around 8% of its workforce, as part of a reorganization. Co-founder and CEO Jack Dorsey emphasized that the layoffs were not due to financial issues but to improve efficiency. Brightcove: Brightcove is cutting 198 employees, about two-thirds of its U.S. workforce, following its acquisition by Bending Spoons, an Italian app developer, for $233 million. Brightcove had 600 employees globally and 300 in the U.S. as of December 2023. Sequoia Capital: Sequoia Capital is closing its office in Washington, D.C., and laying off its policy team there. The company had opened the office five years ago to deepen its relationships with policymakers, affecting three full-time employees. Siemens: Siemens announced plans to eliminate approximately 5,600 jobs globally in its automation and electric-vehicle charging businesses to boost competitiveness. HelloFresh: HelloFresh is reportedly laying off 273 employees, closing its distribution center in Grand Prairie, Texas, and consolidating operations to another site in Irving. Otorio: Otorio, after being acquired by cybersecurity firm Armis for $120 million in March, cut 45 employees, more than half of its workforce, to streamline operations and ensure long-term success. ActiveFence: ActiveFence is reducing 22 employees, or 7% of its workforce, with most affected based in Israel. The company is undergoing a streamlining process to remain competitive. Major Layoffs in February 2025 HP: HP announced it will cut up to 2,000 jobs as part of its "Future Now" restructuring plan, aiming to save the company $300 million before the end of its fiscal year. GrubHub: GrubHub, after being sold to Wonder Group for $650 million, announced 500 job cuts, affecting more than 20% of its previous workforce. Autodesk: Autodesk plans to lay off 1,350 employees, or 9% of its total workforce, to reshape its GTM model. The company also reported making facility reductions, though no closures are planned. Google: Google is cutting jobs in its People Operations and cloud organizations as part of a new reorganization effort. The company is offering a voluntary exit program to U.S.-based People Operations employees. Nautilus: Nautilus, a biotech company, reduced its headcount by 25 employees, accounting for 16% of its workforce. The company plans to release a commercial version of its proteome analysis platform in 2026. eBay: eBay will reportedly cut a few dozen employees in Israel, potentially affecting 10% of its 250-person workforce in the country. Starbucks: Starbucks cut 1,100 jobs, primarily affecting tech workers, as part of a reorganization effort. The company will now outsource some tech work to external employees. Salesforce: Salesforce is reportedly eliminating more than 1,000 jobs, even as it actively recruits and hires workers to sell new AI products. Notable Layoffs in January 2025 Cushion: Cushion, a fintech startup, ceased operations, and CEO Paul Kesserwani announced the shutdown on LinkedIn. The company's post-money valuation in 2022 was $82.4 million. Placer.ai: Placer.ai, a real estate analytics firm, laid off 150 employees based in the U.S., affecting roughly 18% of its total workforce, to reach profitability. Amazon: Amazon laid off dozens of workers in its communications department, citing the need to move faster, increase ownership, and strengthen its culture. Stripe: Stripe is laying off 300 people, according to a leaked memo reported by Business Insider. However, the company plans to grow its total headcount by 17%. Meta: Meta announced a 5% staff reduction targeting "low performers" to prepare for a demanding year. As of its latest quarterly report, Meta has more than 72,000 employees. Analysis and Industry Insights The surge in tech layoffs is indicative of a broader economic slowdown and the industry's pivot towards more cost-efficient and technologically advanced solutions. Companies are increasingly embracing AI and automation to optimize operations, often leading to job cuts in areas that can be automated or streamlined. While these layoffs might lead to short-term financial benefits, they also raise concerns about the long-term impact on innovation and the tech workforce. Industry experts argue that while downsizing is necessary to navigate challenging economic conditions, companies must balance cost-cutting measures with maintaining a skilled and motivated workforce to stay competitive in a rapidly evolving market. Company Profiles Layoffs.fyi: An independent tracker that monitors job cuts across the tech industry, providing real-time data and insights. Chegg: A San Francisco-based edtech startup offering textbook rentals and tutoring services, recently hit hard by declining student engagement in favor of AI tools. Intel: A leading semiconductor manufacturer that has faced competition and market challenges, leading to major restructuring efforts. Block: A diversified fintech company known for its digital payment platforms, including PayPal and Cash App, focusing on efficiency and agility. Northvolt: A once-promising Swedish battery maker that filed for bankruptcy, highlighting the risks in the rapidly changing renewable energy sector.
