Talk City on Friday laid off 35 employees, or 30 percent of its staff, as part of the online community company's third restructuring in less than a year. The job cuts are part of an effort by Campbell, Calif.-based Talk City to move away from advertising to deriving all of its revenue from fee-based services.
With the latest job cuts, Talk City's staff has been cut by two-thirds from its peak of 235 employees last year. The company, which hosts chats and message boards for entertainment companies such as Disney and HBO, laid off about 35 employees in June and another 50 in December. The layoffs will allow Talk City to cut costs by 40 percent, company representatives said. The company expects to be profitable in 2002.