Chill.com has laid off 40 percent of its staff after struggling to gain traction, according to Gigaom. In November, the company launched a new service allowing independent creators to sell streams and downloads of their movies, comedy recordings and other types of videos directly to consumers. The Los Angeles-based video distribution platform dropped its premium content distribution platform last week, just days after a positive profile ran in Fast Company.
Co-founder Brian Norgard said the layoffs would primarily affect the entertainment team, but some engineers may lose their jobs as well. In an email, Norgard said, “We discovered the sales/acquisition cycles around premium content to be somewhat inconsistent with our self-serve distribution model. Premium content creators still want deep human assistance in creating sales, marketing and multi-window distribution plans.”
A core team of nine employees are left, but it’s unclear what the team will do next, and how much resources it has left to pursue new opportunities, Gigaom reports. Norgard said that the site will stay up for at least another 60 days, and may be sold after that.