Virgin Mobile to Cut 10 Percent of Staff

Virgin_Mobile.jpgVirgin Mobile USA, the lone standing mobile virtual network operator in the U.S. (after Helio, Amp’d Mobile, Mobile ESPN, and Disney Mobile all went kaput) will cut 10% of its staff, or about 45 people in New Jersey and California, Silicon Alley Insider reports.

“In a memo to employees today, Virgin Mobile USA Chief Executive Officer Dan Schulman explained that the Company had identified continued synergies associated with the transition of IT services to IBM and the acquisition of Helio,” the company said in the article.

Virgin is well positioned with its strong prepaid model and resulting sales, although it’s struggling to turn a profit. Last quarter, Virgin made just $4.1 million on $323 million of sales, the report said.