BuzzFeed News, which won a Pulitzer Prize but never made money, is “beginning the process of closing,” the company’s founder, Jonah Peretti, said in a memo to employees.
BuzzFeed is shutting down its news division as part of an effort to cut 15 percent of its work force, the company’s chief executive, Jonah Peretti, said Thursday in a memo to employees.
About 60 jobs will be affected by the shuttering of BuzzFeed News, according to a person familiar with the matter who spoke on condition of anonymity. The company will offer jobs at HuffPost and BuzzFeed.com to more than a dozen BuzzFeed News staff members affected by the closure in an attempt to salvage some positions.
In his memo, Mr. Peretti said he “made the decision to overinvest” in BuzzFeed’s news division because he loved the work it produced but acknowledged that he was slow to accept that social-media platforms would not provide financial support required to make it profitable.
“I’ve learned from these mistakes, and the team moving forward has learned from them as well,” Mr. Peretti wrote. “We know that the changes and improvements we are making today are necessary steps to building a better future.”
Edgar Hernandez, BuzzFeed’s chief revenue officer, and Christian Baesler, the company’s chief operating officer, will depart but have agreed to stay on through the transition.