Tiny Computers has axed staff in the US, but this week denied it was pulling out of the American market.

The British computer maker says it does not plan to close or sell any of its 48 stores in the US - located in California, Washington and Oregon.

Jeff Chapman, Tiny VP of sales and marketing in the US, said the company had "downsized and cut costs" in the US. Chapman, who said the moves made "economic sense when the market is down," also confirmed there had been a number of layoffs at the company.

He refused to give any more details on the changes or number of layoffs.

Chapman said the US operation was starting to branch out into other business areas. It plans to use its stores to shift products from phone companies, as well as services such as DSL from high-speed Internet providers.

A Tiny UK representative was today unable to comment on the US job cuts or new product offerings, but reiterated that the company would not be shutting its US operations. Last month Tiny said it would cut 60 staff in the UK in an effort to streamline the business. ®

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