Walker Digital Sheds 100 Jobs
Jay Walker's
Walker Digital
, the incubator from which the ailing
priceline.com
(PCLN)
sprang, has laid off 100 employees and will stop funding three start-ups.
Spokesman Kevin Goldman said that after "an extensive internal review," the company is firing 100 of its roughly 300 employees and ending its support of three early-stage companies with no revenue:
HighCircle
,
Atlantis
and
Pulse
. He said the company will focus on its invention laboratory, the licensing of its intellectual property portfolio, and the commercialization of several businesses already in development. He wouldn't say how many. Jay Walker will take over for Vikas Kapoor as chief executive.
Nor would Goldman comment on what prompted the cutback, though the
Industry Standard
TheStreet Recommends
reported that a third round of financing led by
General Atlantic Partners
fell apart over the weekend.
Walker Digital is privately held, with a list of investors including General Atlantic, investment bank
Allen & Co.
and Paul Allen's
Vulcan Ventures
, which has also invested in
TheStreet.com Inc.
(TSCM)
.
It's not been a good few months for Walker: priceline delivered
unimpressive third-quarter results, its CFO quit and its
WebHouse Club
licensee
shut down. That all prompted a stock swoon and questions about how many applications priceline's name-your-own price model really has. Shares now trade at $2.31, down from a 52-week high of $104.25.
