Apple reportedly laid off 100 employees from its services division Tuesday due to a change in priorities. The biggest job cuts hit the team that worked on the Apple Books app and the Apple Bookstore. This marks the company’s fourth round of layoffs this year.
Apple Books team affected the most by layoffs
The rare Apple layoffs come during a wave of cost-cutting moves in the tech industry. Tech giants including Google, Intel and Amazon have laid off thousands of employees so far in 2024. The companies typically cite a slowdown in the U.S. economy and overhiring during the COVID-19 pandemic as key reasons for the job cuts.
Compared to competitors who laid off thousands of employees, Apple’s layoffs seem relatively small. Tuesday’s Bloomberg report says Apple’s cuts affected the Apple Books app because it’s no longer a big priority for the company. Unlike Apple’s other services, Apple Books does not drive major revenue.
Apple also laid off some employees from Apple News team and other services divisions, including some from engineers. Despite this, Apple News remains a key area of focus within the company, according to Bloomberg.
Apple informed the affected employees about its decision on Tuesday, August 27. The company reportedly gave all affected employees the option to find another role inside Apple within 60 days before their termination.
Apple’s fourth known layoffs of 2024
In recent years, Apple’s services division fueled revenue growth as iPhone sales slowed. So, it seems surprising to see the company lay off employees from this division.
Apple reportedly laid off more than 600 employees in April after shuttering its Apple car and micro LED projects. All affected employees worked on the two secret projects within the organization. At the beginning of the year, the company’s reorganization efforts within the Siri team led to layoffs. This affected 121 employees, though Apple gave them the option to relocate to Texas and work on other projects.
Rajesh has been closely following and writing about the latest happenings in the world of mobile for nearly a decade now. While he prefers Android, he does not deny the superiority of Apple’s products and ecosystem.
