Report: BuzzMedia in the Process of Laying Off 50 Staffers

Some shocking news today via Michael Carney at Pando Daily. According to the reporter’s sources, at least 50 people are being laid off from BuzzMedia.

If confirmed, it’s a very sudden turn of events for a company that until now had shown no signs of anything but rapid growth. From Carney’s report:

According to those close to the company, BuzzMedia had approximately 250 employees prior to the current round of cuts. Given the scope of the company’s operations, and in comparison to other similarly positioned publishers, this appears to be an unusually large number…

BuzzMedia has announced $31 million in funding to date from Redpoint Ventures, Anthem Venture Partners and Interscope records, but industry sources put its total funding at nearly double that figure. At the time of his appointment, [CEO Stephen] Hansen sent a memo to employees stating that the company would be receiving additional funding from its shareholders in a round said to be closing within weeks.

More to come about this in the coming days. In the meantime, our best wishes go out to all those affected by the downsizing.