Feeds

CNET shuts Gamecenter

Decimates staff

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

CNET will call time on Gamecenter at the end of this week, blaming the closure after four and a half years on a drop in advertising revenue.

The move is part of a streamlining plan announced today that will see around 190 people, 10 per cent of CNET's workforce, lose their jobs.

Other CNET ventures which are unprofitable or have failed to grow will also be culled, CEO Shelby Bonnie said.

The company intends to eliminate duplication of coverage across its network, and this would appear to be why the axe has fallen on Gamecenter.

Since acquiring ZDNet in July last year, CNET had owned two gaming sites - Gamecenter and ZDNet's GameSpot. One of them had to go.

Gamecenter has sites in the US and Asia, but GameSpot is a worldwide brand, established in 15 countries and published in their native languages. So the winner comes as little surprise.

Interesting timing, though.

Last month, CNET plugged one cash leak by withdrawing its Gamecenter Alliance, an affiliate scheme which supplied advertising to third-party sites on a commission basis.

At the time, spokesman Josh McCloskey said: "CNET has decided to re-dedicate resources from the Alliance right back into Gamecenter and Gamespot. We want
to concentrate on making Gamecenter and Gamespot the strongest gaming sites on the Internet."

But the closure of Gamecenter just a month later is sure to raise suspicions that CNET bosses planned this week's redundancies as long ago as late last year.

CNET lost just shy of $400 million last quarter, and forcasts revenue for this year as low as $450 million, a cut of one fifth over earlier estimates.

The company's stock is currently worth around 30 per cent of its value one year ago. ®

Related Stories

Cold wind blows through Games Web sites
Barrysworld goes titsup.com

Register games industry channel

Website security in corporate America

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
JINGS! Microsoft Bing called Scots indyref RIGHT!
Redmond sporran metrics get one in the ten ring
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Murdoch to Europe: Inflict MORE PAIN on Google, please
'Platform for piracy' must be punished, or it'll kill us in FIVE YEARS
Bono: Apple will sort out monetising music where the labels failed
Remastered so hard it would be difficult or impossible to master it again
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Found inside ISIS terror chap's laptop: CELINE DION tunes
REPORT: Stash of terrorist material found in Syria Dell box
Sony says year's losses will be FOUR TIMES DEEPER than thought
Losses of more than $2 BILLION loom over troubled Japanese corp
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.