Snap to Cut 16% of Its Workforce in Quest for Profitability

Snap Inc. is laying off roughly 1,000 full-time employees, or 16% of its global workforce, as part of an effort by Chief Executive Officer Evan Spiegel to reduce costs and achieve profitability.

In a memo to employees early Wednesday, Spiegel said the cuts are necessary for Snap to boost efficiency as it pursues profitable growth. He cited improvements in artificial intelligence technology that let Snap employees move more quickly. The company is also closing more than 300 open roles.