EXCLUSIVE: Layoffs at Technicolor, which remains a postproduction giant in color grading, sound, visual effects and digital cinema services, will affect only its media services departments, the company told Deadline today. “This strictly affects the Media Services departments at our Olive Avenue office in Burbank, our Pinewood office in the UK and an office in Bangalore, India,” a Technicolor spokesperson said a day after the layoffs were first reported here. “To clarify, the impact will be to portions of our Media Services department which handle DVD compression and authoring, and physical tape encoding and transcoding services primarily for distribution windows downstream from the theatrical window.”
Technicolor won’t say how many jobs will be lost, but it’s believed to be a very small percentage of its 14,000 employees worldwide.
“At Technicolor we have committed ourselves to deliver on services that are driven by creative talent and technology that contribute to creating next generation – immersive, connected and interactive experiences,” the company told Deadline. “To do this, it is essential for the company to shed commoditized businesses. For this reason we are planning to make the difficult, but necessary, decision to transform our Media Services department by closing our stand-alone physical Media Services facilities in the US and the UK and prioritize our nascent digital servicing platform. We will continue to focus our resources on services and creative talent that build and enable the immersive media experiences our customers expect.”