Online media company audiohighway.com yesterday confirmed that 21 of its 30 employees have been laid off.
The layoffs follow a trend of dot-com deaths and downsizing influenced by ill-received earnings reports and declining venture capital funding.
Audiohighway's layoffs followed an earnings report released Tuesday showing a nine-month loss of $12 million against $1.98 million in revenue.
The company blamed the layoffs on a funding commitment that fell through.
“Management and the board of directors wanted to have enough money to secure either a new strategic partner or new funding,” chief executive Nathan Schulhof said.
Schulhof said layoffs would not stop the company from functioning as normal, fulfilling advertising commitments and delivering products.