Google’s making serious cuts to Google TV. As reported by The Information and brought to our attention via 9to5Google, Google’s cut its budget for Google TV and Android TV by 10 percent, which shakes out to a reduction in the tens of millions of dollars earmarked for the company’s smart TV efforts.
According to anonymous sources cited by The Information, these cuts to Google TV could have impacted up to a quarter of Google’s smart TV teams that previously numbered around 300 workers. The report also says that Google is now expanding this team in other regions, specifically in India, and that the company intends to build it back to about the same headcount, but distributed differently.
Despite its reduced smart TV budget, Google says that it’s not giving up on Google TV or Android TV entirely. Reached for comment, Google gave The Information the following statement:
We continue to invest in Google TV with new user experiences including the upcoming integration of Gemini. There are more than 270 million Android TV devices, and we remain committed to growing this ecosystem with an exciting road map ahead.
It’s interesting to see Google call out Gemini in its statement here. Google’s been visibly prioritizing Gemini for some time, trimming its workforce in other divisions multiple times in recent months while increasing its budget for Gemini efforts. In April, Google let hundreds of workers in its platforms and devices division go.
YouTube is still going strong
Even as Google pares back its Google TV efforts, YouTube remains an important revenue stream for the company. The Information notes that for the 12-month period ending last September, YouTube’s advertising and subscription revenue totaled more than $50 billion for the first time in company history.
YouTube has looked to capitalize on its success with new executive leadership. The Information notes that YouTube hired former Disney ecex Justin Connolly for a partnerships-oriented position. Citing sources familiar with the situation, the report also says that YouTube is seeking a successor to chief business officer Mary Ellen Coe, with YouTube VP of product management for connected TV and infrastructure Chistian Oestlien a contender for the position. The Information says YouTube has declined to comment.
