Shuttering of BuzzFeed News Signals Shift to Survival Mode

Jonah Peretti. Photo by Getty.

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BuzzFeed, like much of the digital media industry, is moving into survival mode.

BuzzFeed said Thursday it would shutter BuzzFeed News, the highest-profile part of its business but one that loses money. The move is part of a broader effort to reduce losses, which also includes laying off 15% of its staff, or 180 people. The cutbacks spotlight the financial pressures on BuzzFeed and are likely to intensify investor pressure on CEO Jonah Peretti to sell the company.

BuzzFeed, which primarily makes money from videos it distributes on social media such as through its Tasty cooking channel, now has an enterprise value of about $200 million.