Quibi continues to face headwinds nearly two months after launching, but the mobile-focused streaming startup has told its staff that reports of imminent layoffs are inaccurate.
In an internal memo Wednesday, founder Jeffrey Katzenberg and CEO Meg Whitman said senior executives have agreed to take a 10% pay cut “because it’s the right thing to do.” The Wall Street Journal earlier in the day had reported the startup was contemplating layoffs of up to 10% of its 250-person workforce.
“Nothing has changed since our last company meeting two weeks ago,” the memo said. “Quibi is in a good financial position. As we said in that meeting, we will look for ways to tighten our belt. We are not laying off staff as a part of cost saving measures. We’ve recently added a dozen new Quibi employees.”
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Katzenberg and Whitman also disputed a report by the New York Post‘s Page Six that staffers were unhappy that Reese Witherspoon had reportedly made $6 million to narrate a low-rated nature documentary, Fierce Queens. “We are pleased with the performance of Fierce Queens,” the memo said. “The talent compensation was utterly inaccurate. We are grateful for Reese’s continued support of Quibi.”
Investors funneled about $1.75 billion into Quibi, which pitched itself as a technology- and talent-rich mobile offering capable of connecting advertisers and content creators with elusive 18-to-34-year-old viewers. Its name stands f
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