• All Things Digital, Thursday, November 5, 2009 3:29 PM

Despite better-than-expected third-quarter earnings last week, RealNetworks, which makes digital media software and tools, is reportedly planning to lay off 4% of its workforce -- or about 70 people out of its 1,700-person staff. The move comes on the heels of layoffs of another 800 employees at Seattle-area neighbor Microsoft.

Citing unnamed sources, Boomtown's Kara Swisher says reasons for the layoffs at RealNetworks are to realign its workforce after the recent economic downturn, and to control costs. RealNetworks, however, will likely hire back some of the laid-off employees, as other parts of the company are expanding, according to Swisher. The last staff cuts at the company amounted to about 130 employees a year ago.

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