Comcast-owned NBCUniversal is laying off hundreds of streaming technology staff, Business Insider reports.
Three people familiar with the matter said the layoffs will affect NBCU’s global streaming technology team, which includes engineering and quality assurance teams.
Most of the layoffs are happening at Sky, Comcast’s European media unit, although a person familiar with the change said some U.S. employees at NBCU will be affected.
Comcast is preparing to spin off NBCU, its streaming media and studios, from its cable and internet businesses next summer.
Traditional media companies are cutting costs as they face pressure to please Wall Street and compete with deep-pocketed, technology-leading rivals like Netflix and YouTube. NBCU’s streaming cuts come months after its U.S. streamer Peacock turned a profit on an adjusted EBITDA basis for the first time.
“As NBCUniversal and Sky continue to invest in our streaming products and technology, we are proposing changes to our global streaming technology organization that will impact a number of roles,” an NBCU spokesperson said in a statement. “This evolution will ensure we have the structure and resources in place for future growth and enable us to better serve our customers and partners.”
Affected employees were informed of the layoffs on Wednesday, people familiar with the matter said. UK employment law requires employees affected by redundancy to go through a consultation process, meaning their dismissal will not take effect immediately. Those processes began yesterday, a person familiar with the matter said.
A Peacock Technology employee said they are “still happy” at NBCU despite the layoffs, but they feel uncertain about the future as the media company prepares for life without Comcast.
“The cuts in technology make me question how we will achieve our ambitious 2027 targets, such as decoupling from Comcast and bringing ITV into the platform,” the person said.
NBCU laid off dozens of employees in March after shutting down African streaming service Showmax, which it operated in partnership with French broadcaster Canal+.
Some of its rivals have also made cuts. The widespread layoffs at Skydance come after Disney earlier this week carried out its third round of layoffs since April as Paramount Skydance acquired Warner Bros. Discovery for $110 billion, with CEO David Ellison saying the deal would include an estimated $6 billion in cost savings.