Subscription-content platform Patreon has laid off 30 employees—13 percent of its team—in response to financial strains from the coronavirus (COVID-19) crisis.
Despite the severe financial implications of the novel coronavirus pandemic, Patreon’s decision comes as something of a surprise; not a few creators are turning to digital marketplaces for money-making opportunities, and self-quarantining consumers are enjoying substantial amounts of entertainment content.
Furthermore, in late March, Patreon announced that it had added 30,000 creators to its ranks in about 30 days. An increase in followers accompanied this membership uptick—“new creators are acquiring patrons faster than usual”—as well as additional income for creative professionals.
In a statement, Patreon officials indicated that the economy’s precarious position and COVID-19’s uncertain future prompted the cuts, presumably so the San Francisco-based company can minimize financial losses.
