Ning Layoff 40% of Its Staff and Say No More to Their Free Service

Ning, the providers of platforms which allow users to create their own social networks, has laid off 69 employees, or 40% of its staff. Additionally, the new CEO Jason Rosenthal posted on the company’s blog, that the free offering is also being closed in favour of the premium service.

Rosenthal became chief executive at Ning just last month, after co-founder and former CEO Gina Bianchini stepped down to become an executive in residence at Andreessen Horowitz.

The thousands of social networks built by Ning users will have to choose now whether to pay for premium services, or shutter their networks.

Rosenthal wrote that such premium Ning networks “drive 75% of our monthly US traffic.”