Digital production company 60Frames Entertainment, which is run by Hollywood talent agency UTA, is set to close due to lack of funding.
The company, which was run by former agent Brent Weinstein, is making its seven staff redundant, which follows a mass cull late last year.
The studio had seemed to be making headway producing and distributing a number of digital productions. It had inked a deal with Warner Bros web video platform Thewb.com to acquire its horror web series Blood Cell, which stars Lonelygirl15 Jessica Rose and launched So On and So Forth via Sony’s Crackle.
The company, which is backed by investment firms The Tudor Investment Group and Bob Pittman’s Pilot Group as well as advertising firm Spot Runner, had also inked an overall deal with NBC Universal Digital Studio.
The move comes as several other major funded digital production companies feel the pinch of the economic downturn. HBO sold its web studio HBO labs to Break and Disney moved its Stage 9 arm into its abc.com subsidiary.