Netflix lays off 150 employees as the streaming service contends with big subscriber losses

Netflix’s revelation that it lost 200,000 subscribers in the first quarter put further pressure on an already beleaguered tech sector, but top tech analyst Mark Mahaney believes the current weakness in the sector presents several opportunities for investors.

CNBC confirmed Tuesday that around 150 employees are being laid off.

Most of the cuts happening in the U.S. are in the eliminated positions, which represent less than 2% of the streamer's 11,000 staffers.

A representative from the company told CNBC that they are letting around 150 employees go because of the slowing revenue growth. These changes are very difficult as we don't want to say goodbye to our great colleagues, but they are driven by business needs. We are working hard to support them through this difficult transition.

Less than a month after it reported its first subscriber loss in a decade and forecast future losses, the staff reductions came. The company's shares are down more than 70%.

Reed Hastings said during the company's earnings last month that the company is exploring lower-priced tiers in a bid to bring in new subscribers after years of resisting advertisements on the platform.

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The tech industry is in the midst of a larger contraction of jobs. Several tech companies have recently announced hiring freezes and layoffs.