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NetObjects cuts jobs, merges divisions

The e-commerce software maker lays off 8 percent of its work force as part of a restructuring that combines two company divisions.

E-commerce software maker NetObjects has laid off 8 percent of its work force as part of a restructuring that combined two company divisions.

NetObjects, best known for its Web site design software, laid off 15 employees yesterday as the company streamlined operations by combining two divisions that focus on small and large businesses, a NetObjects representative said. The company has about 200 employees.

"This is a really a minor, little thing, not a major layoff," the NetObjects representative said. "We had a small-business division and an enterprise division, and we erased those lines. There were some redundancies."

NetObjects, which went public last year, has yet to post a quarterly profit. In April, the company reported a second-quarter loss of $4.3 million, or 15 cents per share, on revenues of $10.2 million. The company met Wall Street analysts' expectations, as polled by First Call/Thompson Financial.

NetObjects, partly owned by IBM, builds software that helps businesses create and manage their e-commerce Web sites. The company recently launched, a site that offers easy-to-use software to design Web sites online. IBM also bundles NetObjects' software as part of its e-commerce offerings to large businesses.

"Any reduction in staff is a result of our sharp focus on achieving our business objectives and our ability to leverage new organizational efficiencies," the NetObjects representative said in a statement.