Vice filed for chapter final yr earlier than being offered for $350 million to a consortium led by the Fortress Investment Group.
Vice Media CEO Bruce Dixon says Vice, which filed for chapter final yr earlier than being offered for $350 million to a consortium led by the Fortress Investment Group, can be seeking to promote its Refinery 29 publishing enterprise
Vice Media CEO Bruce Dixon has stated the corporate will now not publish materials on its web site, ‘vice.com’, and stated it plans to put off a number of hundred staff.
In a memo to employees, Dixon stated Vice, which filed for chapter final yr earlier than being offered for $350 million to a consortium led by the Fortress Investment Group, can be seeking to promote its Refinery 29 publishing enterprise.
The Dixon CEO stated it was now not price-efficient for Vice to distribute digital content material, together with information, and the corporate will now lay extra emphasis on the opposite channels of distribution.
“With this strategic shift (transition to studio model) comes the need to realign our resources and streamline our overall operations at Vice. Regrettably, this means that we will be reducing our workforce, eliminating several hundred positions. This decision was not made lightly, and I understand the significant impact it will have on those affected. Employees who will be affected will notified about the next steps early next week, consistent with local laws and practices,” Dixon wrote to employees.
It’s the most recent signal of economic issues buffeting the media trade. Digital websites the Messenger, BuzzFeed News and Jezebel have all shut down previously yr, and legacy media shops just like the Los Angeles Times, Washington Post and Wall Street Journal have additionally seen job cuts.
Once a swashbuckling media firm geared to a youthful viewers with an immersive storytelling model that encompassed digital, tv and movie shops, New York-based Vice was valued at $5.7 billion in 2017.
Dixon provided no specifics concerning the layoffs, apart from saying a whole bunch of individuals will likely be affected and will likely be notified early subsequent week. The New York Times reported that the corporate presently has about 900 individuals on employees.
“I know that saying goodbye to our valued colleagues is difficult and feels overwhelming, but this is the best path forward for Vice as we position the company for long-term creative and financial success,” Dixon stated.
He stated it was now not price-efficient for Vice to distribute its digital content material, together with information, the best way it has been. He stated Vice would put extra emphasis on its social channels and search for other ways to distribute its content material.
As a part of its strategic shift, Dixon stated Vice would comply with a studio mannequin.
Before submitting for chapter safety final yr, Vice cancelled its “Vice News Tonight” tv program as a part of a spherical of layoffs then.
(With Inputs from Agencies)
