Latest layoffs: Brightcove
Brightcove, the Cambridge, Mass.-based video platform company, announced it is cutting 25 jobs across the organization. The job cuts, the latest in a stream of layoffs in the online video space, will reduce Brightcove's staff by roughly 15 percent from 172 to 147 employees, according to a company spokesperson.
Brightcove made this statement regarding the cutbacks:
"Over this last year, we've focused and invested in our platform business. We've seen tremendous growth in that business, and we continue to build on the solid lead we have in the category. We're committed to putting more energy into developing our online video platform, serving our customers, and solidifying our technology and innovation advantage. As we move into 2009, we have reconfigured the Brightcove team around our key strategic priorities, and this has involved some staffing adjustments."
Sounds like more economic sweating and burn rate reduction adjustments to me. Brightcove now joins other industry leaders like Adobe, Akamai, and Veoh in trimming staff before the beginning of 2009, which is looking more and more like it could be one of the gloomiest years in U.S. economic history.
Some of the cutbacks certainly can be written off as precaution or necessary realignment, as is the case with Adobe reportedly trimming certain areas to build up online video services. But continued lay-offs from firms top to bottom in the industry makes you wonder if the 4Q projections at places like Brightcove and Akamai aren't starting to look pretty grim. Time will tell whether the layoffs are simply Brightcove getting lean and mean for tough times, or something more serious for the company.