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BuzzFeed's stock hits all-time low after latest layoffs

Dec 7, 2022
Data: Yahoo Finance; Chart: Axios Visuals
Data: Yahoo Finance; Chart: Axios Visuals

BuzzFeed's stock hit a new low of $1.06 Tuesday after announcing layoffs of 12% of its workforce, about 180 staffers.

Why it matters: The digital media darling's move to go public via SPAC, exactly a year ago Tuesday, and merge with Complex Networks continues to serve as a cautionary tale for its peers.

Details: In a regulatory filing Tuesday, BuzzFeed disclosed workforce reduction was a cost-cutting move in response to three factors:

  1. "Challenging macroeconomic conditions"
  2. "Eliminating redundancies" with Complex
  3. "Ongoing audience shift to short-form, vertical video"

Flashback: This move is the latest in a series of cuts at BuzzFeed. It offered voluntary buyouts to about one-third of the 100 news division employees earlier this year.

Zoom out: It's been a bleak quarter for media. CNN laid off hundreds of employees. Gannett cut about 200 staffers. AMC Networks' 20% reduction plan also amounts to 200 employees. Protocol and The Recount are shuttering.

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