On: Twilio is laying off 17% of workforce

[overrun11]

In that hypothetical I do not think they would necessarily do layoffs. The more likely scenario would be:

2019 Cost of capital: 7%, gross return 10% for 3% excess return

2022 Cost of capital: 12%, gross return 10% for -2% excess return

In which case that project would get cut and layoffs would occur.