(Reuters) – Amazon.com’s streaming unit Twitch is set to cut 35% of its staff, or about 500 workers, Bloomberg News reported on Tuesday, citing people familiar with the plans.
The move could be announced as soon as Wednesday, the report added.
The business remains unprofitable nine years after Amazon’s acquisition of the company, the report said.
Twitch did not immediately respond to a Reuters request for comments.
Twitch CEO Dan Clancy said in December that the company would shut down operations in South Korea in February this year, due to high operating costs and network fees.
The company had laid off more than 400 employees in March last year after its user and revenue growth did not meet expectations.
(Reporting by Harshita Mary Varghese)