The scope of the job cuts is currently unclear as managers
are still planning it for their teams, the report said, adding that the
Snapchat-owner has more than 6,000 employees.
Snap declined to comment when contacted by Reuters.
The development comes as technology companies, crypto
exchanges, and financial firms cut jobs and slow hiring as global economic
growth slows due to higher interest rates, red-hot inflation and an energy
crisis in Europe.
Facebook-owner Meta Platforms cut plans to hire engineers by
at least 30 percent this year, CEO Mark Zuckerberg had told employees on June,
and he warned them to brace for a deep economic downturn.
Snap CEO Evan Spiegel also told employees in a memo in May
that the company will slow hiring for this year and laid out a broad slate of
problems.
Last month, the company painted a grim picture of the
effects of a weakening economy on social media and declined to make a forecast
in "incredibly challenging" conditions, sending its shares down 25
percent.
It was reported last month that the Snapchat's owner plans
to "substantially" slow recruitment after bleak results wiped 25
percent off the stock price of the tech firm, which is facing difficulties on
several fronts.
Snap reported that its loss in the recently ended quarter
nearly tripled to $422 million despite revenue increasing 13 percent under
conditions "more challenging" than expected.
"We are not satisfied with the results we are
delivering, regardless of the current headwinds," California-based Snap
said in a letter to investors.
The firm pointed to a punishing confluence of increased
competition, slowing growth of its revenue, "upended" advertising
industry standards and macroeconomic woes.
Snap share price was around $12 in after-hours trading in
the wake of the earnings report.
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