Current Affairs

Mashable Asia to close after Ziff Davis acquisition

(Source: www.channelnewsasia.com)

SINGAPORE: The Asia bureau of online news company Mashable will close, possibly as early as end of this week, after the sale to digital media company Ziff Davies.

An unnamed source from the company told Channel NewsAsia on Wednesday (Dec 6) that Mashable Asia will close. The office, which is led by Ms Victoria Ho, an alum of Business Times, TechCrunch and ZDNet, comprises of two other employees currently. 

The news comes after founder and CEO Pete Cashmore confirmed the sale to Ziff Davis, widely reported to be for a cut-price US$50 million, early Wednesday morning via an employee memo, which was seen by Channel NewsAsia. 

In it, he wrote: “By joining Ziff Davis, Mashable will be positioned for long-term success. Ziff Davis has done a tremendous job navigating the business and technology climate over the past several years, at a time when the advertising market has been particularly challenging for digital media companies.”

He also confirmed that there will be layoffs as a result of the sale, adding “it is never easy to see colleagues and friends depart the company”.

“While such decisions are difficult and painful, I can assure you that they were made only after very careful consideration and based on what we firmly believe will provide Mashable with a strategy and structure that will drive a successful, sustainable, and profitable future,” Mr Cashmore added in the memo.

A separate report on the sale by Recode said Ziff Davis intends to keep the site running, but wants to re-focus the company on tech and tech-lifestyle content, which meant the laying off of about 50 employees and offering others positions at its other publications such as IGN, PCMag, AskMen, Speedtest, ExtremeTech and Everyday Health.

The Mashable sale points to a wider malaise in the digital media industry, which has seen other entities such as BuzzFeed and Vice struggling to meet revenue targets, according to a report by Wall Street Journal last month. 

More Info: www.channelnewsasia.com

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