BuzzFeed Shutters Its News Division, Cuts 15% Of Jobs

Facing a significant slump in advertising spending, BuzzFeed –– the popular news outlet, known for its listicles and pop-culture quizzes -- is shutting down its news site and cutting 15% of its workforce, said founder Jonah Peretti in a memo to employees.

“Our industry is hurting and ready to be reborn. We are taking great pains today, and will begin to fight our way to a bright future,” said Peretti, adding that BuzzFeed will focus on delivering news via the HuffPost, a publisher BuzzFeed bought over two years ago.

While the closing of the news division will affect about 60 employees, the broader layoffs will include 180 people across BuzzFeed's business, content, tech and administrative teams, notes The New York Times.

The news division’s downfall can be linked to an ongoing shift in the allocation of digital advertising money, as it now goes to leading tech platforms like TikTok and Instagram more than traditional publishing companies and news outlets.

The job cuts come after BuzzFeed laid off 170 people (roughly 12% of its staff) in December.

Shares fell 20% on Thursday, diminishing BuzzFeed’s market value to around $100 million, which marks a mere fraction of the $1.5 billion valuation two years ago.

BuzzFeed is not alone. Other media companies reliant on advertising have been making job cuts in recent months, like Meta and Insider, which also announced Thursday that it would be reducing its workforce by 10% (about 95 jobs).

Both Peretti and BuzzFeed News’ Editor in Chief Karolina Waclawiak said the shuttering of the news division was avoidable, with Peretti declaring: “I could have managed these changes better as the CEO of this company and our leadership team could have performed better despite these circumstances.”

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