The digital news publisher is laying off 15% of its staff, or about 180 people, in BuzzFeed News and other departments, effectively closing its pioneering era in online journalism.
Photo: Reuters
In the future, BuzzFeed will focus its efforts solely on a single profitable news outlet, HuffPost, which was acquired from Verizon in 2020, according to Peretti's announcement regarding layoffs and the closure of the news service. However, the company's BuzzFeed.com domain will remain.
"Despite ongoing layoffs across almost every department, we have determined that the company can no longer continue to fund BuzzFeed News as an independent organization," Peretti wrote.
BuzzFeed News first launched in 2011 under editor-in-chief Ben Smith and has become a phenomenon in the digital media age.
But, “I invested too much in BuzzFeed News because I loved the work and its mission. And I find it hard to accept that major platforms aren’t providing the necessary distribution and financial support for journalism to survive in its current free-to-use format, even though journalism is largely serving technology and social media platforms,” he explained.
According to Peretti, HuffPost is “a profitable brand with a loyal, highly engaged readership that is less reliant on social media platforms” than BuzzFeed News.
"We will bring more innovation to our customers in the form of creators, AI, and cultural moments that can only happen on BuzzFeed, Complex, HuffPost, Tasty, and First We Feast," he affirmed.
According to a BuzzFeed spokesperson, no jobs will be replaced by AI. The company recently began using AI to assist in creating some content, including quizzes, and Peretti said the technology will become “a core part of the company’s business.”
Along with the closure of BuzzFeed News, revenue chief Edgar Hernandez and COO Christian Baesler will also be leaving the company.
According to a BuzzFeed representative, discussions are ongoing regarding the future of BuzzFeedNews.com, but all of BuzzFeed News's previous work will be retained and available within the BuzzFeed network. The company is also working to ensure that any news stories still being produced by the BuzzFeed News team will also be published and promoted on BuzzFeed's other platforms.
According to SEC filings, BuzzFeed is liable for between $7 million and $11 million in fees related to employee layoffs.
Hoang Ton (according to Variety)
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