Summary:

Mahalo, one of the sites reportedly most affected by Google’s move last week to penalize sites with low-quality content, is laying off 10 pe…

Demand Media
photo: Flickr / Hill Street Studios

Mahalo, one of the sites reportedly most affected by Google’s move last week to penalize sites with low-quality content, is laying off 10 percent of its employees. In a message (via Center Networks) CEO Jason Calacanis and president Jason Rapp say the “changes have led to a significant dip in our traffic and revenue” and the company is therefore eliminating a “handful” of positions.

The company is also “pausing” its freelance content production and says it’s “determining how to best produce the high-quality educational material we aspire to in the long run.” That follows Calacanis’ recent statements at an industry conference that he was pivoting Mahalo from a “human powered” search/content factory to an education-centric enterprise.

As for what company might be forced to adjust its business model next, it’s difficult to speculate since many of the impacted companies are in unique situations (ie Yahoo’s Associated Content says “search traffic” is no longer its focus, Business.com is in the process of changing hands) but the list of who was reportedly most affected is here.

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