Vice Media, under the leadership of chief executive Bruce Dixon, is set to make significant job cuts and stop publishing on Vice.com. The decision comes after the company filed for bankruptcy in the US and was acquired by Fortress Investment Group. In a memo, Mr Dixon stated that Vice will now focus on partnering with established media companies to distribute its digital content. This move follows similar job cuts at other media firms such as Channel 4, Los Angeles Times, and Business Insider.
Mr Dixon explained that the current distribution model for Vice’s digital content is no longer cost-effective, leading to the decision to reduce the workforce by several hundred positions. The company is also in the process of selling the business, with an announcement expected in the coming weeks. Prior to filing for bankruptcy, Vice had already made layoffs by shutting down its flagship TV programme.
Founded in 1994 as a fringe magazine, Vice Media has operations in over 30 countries and was once valued at $5.7 billion in 2017. The company was seen as a disruptor in the traditional media landscape, offering edgy, youth-focused content across various platforms. However, Vice has struggled to increase revenues and turn a profit in recent years. Despite producing popular documentaries and content, including coverage of the Islamic State and Dennis Rodman’s trip to North Korea, Vice’s plans to go public through a merger fell through.
