IAC has sold off a major stake in CH Media, the parent group behind CollegeHumor.
Reich declared the step on Twitter, saying that digital media holding company IAC “made the tough choice to no longer finance us,” however, that it could allow him to “run with the corporate.”
He continued, “Of course, I can’t keep it going like you’re used to. While we had been on the way to turning into worthwhile, we had been nonetheless shedding cash — and I don’t have any cash to have the ability to lose.”
Reich stated that greater than 100 persons are losing their jobs as a result.
Bloomberg reports that the company will probably be left with a team of between five and ten individuals. It further reports that IAC will maintain a minority stake in the firm.
In an announcement, IAC said, “Sam was the only option to acquire CH Media and outline its next chapter.
The choice places CH Media with a proprietor who is beloved by fans, passionate in regards to the business, and sees a future we consider in.”
CollegeHumor launched its subscription streaming service called Dropout in 2018, and Reich stated, “The #1 way you’ll be able to support me is to stay subscribed to Dropout.”
He claimed the service still has six months of extra content ready to go, and that it is going to be launching version 2.0 at the end of January.
After noting that many Dropout reveals could need to take “daring new creative instructions to survive,” Reich added, “I’ll, nevertheless, do my very best to remain true to the expertise, shows, followers, and rules that got us where we’re today.