RealNetworks cost-cutting continues, 80 people laid off
updated 12:20 am EDT, Wed August 29, 2012
Another 80 people notified of potential job loss
Digital media streaming vanguard RealNetworks has commenced layoffs of seven percent of its workforce. An additional seven percent may follow in the coming months. The moves are part of interim CEO Rob Glaser's plan to reduce costs by $45 million as rapidly as possible. The first wave of employees involved in the layoffs were notified today, and the second batch have been notified that their current positions will not be renewed at the completion of work, and they may be reassigned elsewhere if financial conditions improve.
An email company-wide from Glaser said that soon he would "have a lot more to say about our collective assessment of our businesses & new initiatives, and about our go forward strategy. Specifically, we have scheduled a series of company meetings –- both in Seattle and at our main offices around the world –- for on or around September 6th. After these meetings I believe that each of you in attendance will walk away with a clear understanding of our strategies and excitement regarding where we’re going."
RealNetworks' financial data from the most recent quarter was released on August 8, and showed a profit of $81 million dollars, but that profit included a sale of patent assets, including the core RealPlayer codec, totaling $121 million dollars. Real is expecting a loss between $9 million and $12 million for the third quarter.
Fresh-Faced Recruit
Joined: 07-22-04
These guys are still in business???? I think their 'go forward strategy' needs to be to close shop and move on to something else that actually has a chance of making any money.