Reciprocal More Than Halves Its Workforce

By Planet eBook Editor
October 9, 2001

A recent News.com item has reported that Reciprocal, a DRM and distribution service company, has cut its workforce from more than 100 employess to less than 50. According to the company the changes occurred because of slower than expected growth in key markets.

"The digital distribution market is...not growing as fast as we had projected, but we need to ensure that the company can take advantage of the more rapid growth that we're convinced will come in the future." said Howard Singer, senior vice president of marketing and product strategy for the company, according to the News.com report.

The first news of the reductions may have been a rumor at FuckedCompany on September 24. It claimed also that the rest of the employees "were warned that they may be axed in three weeks if the company isn't sold soon."

Earlier at Reciprocal

SeyboldReports.com reported earlier this year of a previous round of downsizing that took the company from 165 to around 115. Around two years ago the company was valued at more than $100 million and had received investment from companies including Microsoft, Xerox and Hewlett-Packard.