American cloud communications company Twilio has announced its plans to cut around 17% of its workforce, or roughly 1,500 jobs. Twilio's CEO Jeff Lawson told employees that they have to prioritize profit far more than before and they have to spend less, streamline, and become more efficient. He said that he knew many are impacted and expressed his grief for them.

Twilio had hired aggressively during the pandemic to cater to booming demand for cloud service providers from businesses looking to operate amid lockdowns. Employee count jumped to 7,867 by the end of 2021 from 4,629 in 2020.

According to a filing, the company’s stock has fallen about 73% this year, also reiterated its third-quarter forecast.

Twilio estimates it will incur between $70 million and $90 million in charges over its restructuring plan which includes staff layoffs, with the majority to be incurred in the third quarter of 2022.

The company faced a cyber attack last month that compromised data of about 163 customers. The company, which has notified the affected people, has not disclosed any financial impact of the breach.