(NewsNation) — Google CEO Sundar Pichai recently hinted at possible job cuts as he aims to make the company 20% more efficient, according to multiple media reports.
Pichai detailed how he wants to make the company run efficiently because of economic uncertainty and what he said was less ad spending at Code Conference in Los Angeles, California, CNBC reported. A report from Insider quoted Pichai as saying there’s a need to “simplify” the company.
NewsNation business contributor Lydia Moynihan said job cuts seem to be what Pichai is signaling.
“It’s a good indicator of what’s happening in the economy writ large, because Google makes most of its money from people buying advertising,” she said. “If you’re a company and you’re worried about the future, you’re probably going to pare back on buying a bunch of marketing and advertising … and bear in mind, they get advertising money from small companies, big companies, mid-level companies.”
With more companies easing off marketing and advertising buys, Moynihan said, “It’ll be interesting to see how this plays out.”