They cut quite a lot projects and side products (from tweet deck to different statistics and insights to ads), some other things they scaled down a lot (in the past one could read everything without being signed in, now they limit to sign in users, which certainly takes a lot of load and thus need to keep systems running)
Also initially they had a lot of breakage.
Indeed when you have fewer people you generally reduce scope
Also they made an entire separate company X.ai to do Grok and some other stuff which certainly involved hiring people.