Financial information site cuts back
Financial research site TheStreet.com appears to be in trouble. The company has announced staff cuts as well as the closure of UK operation, TheStreet.co.uk.
Financial information site www.TheStreet.com appears to be in trouble. The company is cutting 40 jobs from its US operations, some 20% of its staff, and closing its UK site completely, despite the fact that the UK site was reported to have made a profit since its flotation in May 1999.
A statement from disgruntled TheStreet.co.uk ex-employees read: "It's another Internet collapse. But one with a difference. TheStreet.co.uk hit all its financial targets during its brief life, including cashflow."
TheStreet.com also ended a strategic partnership with the New York Times. Both moves are thought to be intended to ensure that the US site reaches profitability.
A US spokesman claimed that TheStreet.co.uk had accounted for $9 million of its losses to September this year. Thomas J Clarke, CEO said: "We're in this for the long haul. And to go the distance, we must operate at peak efficiency while continually exploring ways to grow top-line revenue.”