Zapak has decided to shut down it’s Bangalore office and has fired close to 40 employees (from confirmed sources)
Few employees have been asked to relocate to Mumbai or..leave and confirmed sources tell us that they are planning to layoff another 25 employees.
In general, the subscription based business hasn’t worked in Mobile entertainment and though Zapak recently launched ad-supported games,it will be an uphill task to get those subscriptions (and that’s why foray into different formats)
The company is under tremendous pressure to breakeven – after all, they have been in business for the last 2 years and its’ time they show some substantial results.
Zapak, when it was launched went aggressive on it’s hiring plan and paid a damn heavy salary packet to Engg and Product guys – guess it’s time to cut cost and get back to money making businesses?
Update from Zapak:
This information is completely distorted. Zapak still has Bangalore office where they have 15 people sales & operations team. In order to streamline its technology & increase synergies between various teams, Bangalore engineering team is being shifted to Mumbai and most of them have already taken the offer of moving to Mumbai.
There are no layoffs happening at Zapak. Infact Zapak is scaling up its operations and also launching few global portals for which it is actively hiring at all levels.
So, its’ mainly the engg team that has been affected?