Startup Celvibe, which has developed technology to stream television images to advanced mobile phones, is firing half its 40 workers, TheMarker.com has learned. The cutbacks will be made from its marketing, development and administrative staff.
Company chief executive Yossi Cohen said the figures are inaccurate. He said a few jobs were cut as the company reorganizes, but that new people will shortly be taken on in their stead.
Celvibe's technology streams live TV broadcasts to 2.5G and 3G cellular networks.
In June this year the company surprised by announcing the departure of its CEO, Oded Peretz, who had co-founded the company with Eyal Farkash in May 2000. Peretz and Farkash were both graduates of Optibase (Nasdaq:OBAS). Yossi Cohen, a co-founder of Algorithmic Research was appointed a month ago.
In May 2001 Celvibe announced it had secured $2 million venture capital from Asian investors, according to a company value of $34 million. The round followed a funding effort from January 2001, in which the startup raised $8 million at a company value of $32 million.
In its first round, in June 2000, Celvibe secured $3 million at a company value of $11.5 million.
Its investors include the Challenge Fund II, Poalim Venture Capital, Eurofund 2000, tecc-IS, Ofir Technologies and China Development Industrial Bank (CDIB) of Taiwan.