Four reasons why so many tech companies are doing mass layoffs

The wave of tech layoffs at Bay Area companies in the past month have affected more than 24,000 workers globally, levels of downsizing not seen since the early part of the pandemic. The once-booming job market has cooled, and there are fewer opportunities as companies such as Meta, Twitter and Oracle seek to cut costs.

The tech sector is facing challenges that are also being felt by other industries, but the industry’s trajectory during the pandemic has made it especially vulnerable to downsizings. Here are the main reasons the tech sector has been shrinking: