LOS ANGELES (AP) — News Corp. says it has laid off about 500 of the 900 employees at its money-losing Amplify educational unit and sold it to Amplify managers and private investors for an undisclosed amount.
The move comes after the publishing company booked a $371 million write-off on the Amplify business, which sought to sell tablets to schools and develop a digital curriculum. The business lost $93 million in the year through June on $109 million in revenue.
Joel Klein, the former New York City school chancellor who led the education business at News Corp., is to remain a director at News Corp. and Amplify. Amplify executive Larry Berger replaces him as CEO.
Amplify will now focus on curriculum and assessment after it stopped selling tablets earlier this year.