Moonbug Entertainment, the company behind the hit TV animation series "CoComelon," which was released on Youtube and went on to become a huge hit over the years, has announced a restructuring that will result in layoffs;

On Dec. 11, Moonbug Entertainment announced that it had laid off 30 employees at the end of October, representing 5% of its total workforce. It was a shocking conclusion given the company's global popularity;

Hollywood studios are cutting back on production budgets, which is affecting even the most popular anime. As access to streaming services has become more common since the pandemic, there has been a lot of interest in creating children's content.

Moonbug was acquired by Candle Media, a company led by former Disney executives Kevin Mayer and Tom Staggs, for $3 billion in 2021.