Browsing Category: "Uncategorized"

American Express cuts 7,000 in cost custting – but CEO is safe with his $26M Salary

Saturday, November 1st, 2008 | Uncategorized with No Comments »

Amex said it will slash 10% of workforce or 7,000 job in order to save $1.8B.  The survivors of such a layoff work will see no raises and other cut backs including travel expenses.  CEO Ken Chenault, who earned $26M in compensation from American Express did not specify if he or management would be taking a paycut to save a few jobs.

American Express CEO Ken Chenault with President Bush

American Express CEO Ken Chenault with President Bush

BiPolar Motorola decides to layoff and hire in a last ditch attempt

Wednesday, October 29th, 2008 | Uncategorized with No Comments »

Motorola, which hasn’t had a hit product since the Razr, and got royally screwed by Apple on the Rockr, is going for a last gasp strategy by embracing unproven Google’s Android OS. The company is short on options and desperately needs to catch up in the Smartphone market. New CEO Sanjay Jha has decided to eliminate 3 phone platforms and the thousands of engineers working on them, replacing them with a new staff of approx. 350 focused on the Android and a new ‘social networking phone’. WTF? Sounds like a failed strategy and a f-cked company to me.

This is a no-lose proposition for CEO Jha – even if he fails, the company agrees to pay him $30M! Hey Motorola, I can drive your company to the ground for 1/3 of the price!

The company has not been profitable since 2006 - they have lost an average of $12 per phone for each of 28 millions phone sold last quarter.

Helium’s Bubble bursts and laysoff

Monday, October 27th, 2008 | Uncategorized with No Comments »

Online writing community Helium laid off 1/3 of it’s staff as advertising rates collapse.  Writers can place content into 24 different “channels”, which in turn get distributed via the Helium network to third party sites.  Helium shares ad revenue with the writers, less a transaction fee.  The company previously raised $17m.

According to insiders, the layoff was much closer to 50% with 18 of 35 employees kicked to the curb.

Revision3 becomes Revision4 as it layoffs 1/3

Monday, October 27th, 2008 | Uncategorized with No Comments »

Online video production company Revision3 has laid off 1/3 of the company and cancelled some shows including: Pixel Perfect, PopSiren and Internet SuperStar.  Rumors are that Jay Speiden (writer/producer/host), Glenn McElhose and Heather Frank (Sr. Producer) have all been let go.

In a cascading effect, SmashFace, producers of Revisions3’s  EPIC FU and Wine Library made a layoff as Revision3 will no longer distribute these programs.

Source: NYT, Kevin Rose Blog

Say it isn’t so - 49 companies and 20k jobs and October isn’t finished!

Friday, October 24th, 2008 | Uncategorized with No Comments »

According to the TechCrunch layoff tracker, 49 companies have laid odd 20,400 employees so far.
It all started with the steep market dive caused by the credit crunch and the Lehman Brothers non-bailout.  The dive accelerated with startups when Sequoia called a all hands CEO meetings for their portfolio companies. Sequoia is not a second rate VC firm-when they talk the entire valley listens.  Overnight the mindset for startups have changed and other VC pulling back on investments, cutting valuations and having their portfolio companies cut 25% or more of their employees.  Unprofitable firms are being told to get to cash flow break even or even sold.  Advertising based business models are being told to come up with alternative models as advertising rates are expect to crash.

It’s a domino effect my friends, what is the next shoe to drop drop?  Stay tuned with Please bookmark us, subscribe to our RSS feed and help us spread the word.

De nobis fabula narratur

Xerox’s CEO takes public speaking lessons from Sarah Palin

Friday, October 24th, 2008 | Uncategorized with No Comments »

First the good news – Xerox announces a $285M profit…the bad news you lose your job along with 3,000 coworkers.  What did Anne Mulcahy, CEO, have to say? “To better align our operations with these changes, we are accelerating actions to reduce our cost base and drive operational improvements across the board, giving us more flexibility in our business in this unpredictable economy. “  WTF?  Does she get paid by the word?  Is she taking lessons from Sarah Palin?

Plop, Plop, Fizz, Fizz…Heller Ehrman Dissolves

Friday, October 24th, 2008 | Uncategorized with No Comments »

today 118 year old Silicon Valley based Heller Ehrman law firm voted to dissolve the firm.   The firm was in default of its line of credit with its bank when 15 partners decide to bail.  Look for 650 attorneys to be hitting the unemployment lines next month.

I love this picture of a sad shark….

Startup Heavy gets a little lighter

Sunday, October 19th, 2008 | Uncategorized with No Comments »

20% of “timewasting” startup Heavy’s employees have a little extra time on their hands today.  The New York based Heavy is a video network oriented towards men 21-34.