Sony Crackle Lays Off 12 Employees

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Crackle general manager Eric Berger

The layoffs are part of a larger restructuring to streamline its operations.

Sony Crackle has laid off around a dozen people as part of an effort to streamline its operations, The Hollywood Reporter has confirmed. 

Among those let go at the ad-supported streaming service were two senior level executives within the digital media sales division, part of a larger merging of the digital ad sales team and the ad solutions team. General manager Eric Berger, who took on the expanded role of chief digital officer of Sony Pictures Television when he renewed his contract with Crackle in November, continues to run the division. 

"These moves were made to streamline operations and increase efficiency, making us more competitive in the fast-moving digital landscape," a spokeswoman on Thursday told THR. The news was first reported by Variety

Crackle, which Sony acquired in 2006, has struggled to compete at the level of deep-pocketed subscription streaming giants Netflix, Amazon and Hulu. In addition to its catalog of Sony TV and film titles, the streamer has a small slate of original programming including 50 Cent-produced The Oath, which was recently renewed for a second season, and The Art of More starring Dennis Quaid. Crackle's first big hit, Jerry Seinfeld's Comedians in Cars Getting Coffee, made the jump to Netflix after its ninth season. 

At its upfront presentation las month, Berger claimed the company had a 50 percent ad revenue growth over the past five years.

The layoffs come as Sony Pictures CEO Tony Vinciquerra has asked all business units to review their operations to ensure that they are performing at the highest level.