Veoh Restructuring Includes Layoffs

[Editors Note: See update below]

Veoh, the San Diego-based Internet video and TV program provider, is reportedly undergoing a “major restructuring” that includes significant cuts in its workforce and a change in strategy, according to VentureBeat.

Another web site, NewTeevee, says the layoffs include some Veoh executives, and the number could be “more than 40 people” while MediaMemo indicates the number is closer to 25—although Veoh’s roster after restructuring will be in the mid-40s. Veoh had about 110 employees in November, when the company said it laid off 20 staffers and shut down an office in Russia.

Veoh, which also has operations in Los Angeles, provides online videos that users can easily find and watch. The company also hosts user-generated content. Veoh has raised $70 million from investors that include Goldman Sachs, Spark Capital, and Time Warner Investments, including $30 million last June from Intel Capital, Adobe Systems, and several prominent private investors.

[Updated at 2:15 PDT] In a Veoh press release carried on some web sites, the company says founder Dmitry Shapiro has replaced Steve Mitgang as CEO, and Mitang is no longer with the company. The company also says that Veoh now plans to focus its business on Video Compass, a browser add-on that recommends videos to users as they surf the web. Venture Beat and NewTeevee now report that Veoh has cut 25 people, which leaves the company with 45 employees.