Peer-to-peer company BitTorrent Inc. is laying off over a fifth of their employees. The company was forced to drop 12 of their 55 employees after a disastrous failure in marketing their online media store. According to Valleywag, the $15 million deal with giant electronics retailer Best Buy was cancelled, because of an FCC ruling on file sharing.
In addition to developing the widely spread and adopted BitTorrent-protocol, the company has collaborated with major movie and television studios such as 20th Century Fox, Comedy Central, Lionsgate Films, Paramount, Warner Brothers and Spike TV, as well as network device manufacturers D-Link and Buffalo. The aim of the collaborations was to distribute TV shows and movies legally via P2P networks.