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DDP200 t1_iwqgxc9 wrote

Reply to comment by Vince_Clortho042 in Roku to Lay Off 200 Employees, Cutting Headcount by 7% by MarvelsGrantMan136

High interet rates means tech takes it on the chin. I work in audit and consulting and we have advised every single one of our tech clients to start cutting costs.

Investment is down, values are down, banks no longer want to loan out money as easily to tech. Our clients are all mid size or smaller but generally applies across the board.

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WakandaNowAndThen t1_iwqiai3 wrote

It seems lots of tech are looking for a buyout, and I've read the same about Roku. Is that for the same reasons, or are there independent factors?

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CorporateSympathizer t1_iws7ppy wrote

Looking at their last quarterly filing, Roku has $2b cash on hand and is burning around $100-200m/quarter due to the ad downturn. They should have the cash reserves to weather the recession pretty easily, especially with the announced layoffs.

Unless the recession lasts more than 2-3 years...in which case quite a lot of companies are going to go down.

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