The Electric Sheep Company is firing 22 employees, nearly a third of its staff, and shifting gears. Electric Sheep began 2007 with tons of Second Life hype, an on-stage appearance at CES with CBS CEO Leslie Moonves and an investment from CBS. But the machinima company also is restructuring because of a slowdown in an area that propelled much of its growth—companies marketing within Second Life. CEO Sibley Verbeck told ClickZ: ”Marketing by outside brands in Second Life is something that is not seeing as much excitement [as there] was nine months ago, and that’s appropriate because the active usage base is not growing rapidly right now in that virtual world. We’re seeing a natural shake out of what projects and applications make sense using virtual worlds as a whole and Second Life in particular.” Electric Sheep has canceled its SL ad network and search engine but will continue some investment in SL services including its OnRez viewer. It’s also pulling back on virtual worlds events, outsourcing rather than keeping it in house.
http://www.paidcontent.org/entry/419-electric-sheep-lays-off-nearly-one-third-of-its-staff-cites-second-life/
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