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It was a big week for Amazon. Having finally released the long-delayed War Of The Worlds, which stars Ice Cube as a cybersecurity expert who watches the invasion from his desktop while sending his family supplies via Amazon drones, the $2 trillion company is returning to its first love: layoffs. Earlier today, Bloomberg reported that Amazon was shutting down its podcast studio, Wondery, laying off 110 workers in the process. Amazon has since denied those rumors, clarifying that the company is laying off those people, but it isn’t shutting Wondery down; it’s reorganizing the company and folding it into Audible. How did someone make such a mistake?
The reorg is due to the “podcast landscape,” which “has evolved over the past few years,” Steve Boom, VP of Audio, Twitch and Games for Amazon, said in a memo to staff. Wondery needs to focus more on “video podcasting” because “creator-led, video-integrated shows have different audience needs and require distinct discovery, growth, and monetization strategies compared to audio-first, narrative series.” He continues, “As a result, we have adapted to meet creators’ needs across several ATG businesses, with deep relationships not only at Wondery, but also at Audible, Twitch, Amazon Music, Games, and Talent Services.”
When Mr. Boom isn’t bringing the boom through rapid-fire buzzwords, though, he wants to thank “those of you impacted” for all their “hard work and dedication to the Wondery business.” Those impacted should take solace in knowing that their “creativity, dedication, and hard work have helped establish Amazon as a leader in audio entertainment and creator partnerships.” Anyway, Amazon is folding Wondery’s narrative podcasts into Audible, the Amazon-owned audiobook company that cannibalized Wondery. Personality-driven podcasts will be filed under Audible or moved to the new “creator services” team. At least Amazon found the money to buy this new War Of The Worlds.