Viddy, a video-sharing service that early handicappers had leading Vine, has eliminated 12 positions, or one third of its Los Angeles-based staff.
The layoffs just one month after Twitter launched Vine, a nearly identical app. Vine has been plagued with a number of bugs, but it has a sleeker user interface and has counted on Twitter’s bullhorn since it was acquired in October.
Earlier this month, Viddy co-founder Brett O’Brien stepped down as CEO. (TechCrunch reported a rumor that O’Brien had rebuffed an acquisition offer from Twitter.) Fellow co-founders JJ Aguhob and Chris Ovitz remain as president and senior vice president of business development, respectively.
But Viddy isn’t conceding defeat, saying it’s streamlining for the fight ahead.
“These changes will allow the Viddy team to be focused on bringing the most innovative and engaging social mobile video product to market. Viddy has a strong balance sheet and an exciting product roadmap ahead, including an upcoming new product release, and we have the right team in place to execute moving forward,” a spokesperson told SocialTimes.