The three-year run of Chapel Hill's Zoom Culture ended Tuesday when the media production company officially ceased operations.
Zoom Culture's CEO Kip Frey said the company's shows were not profitable, leading to the company's end of operations Tuesday.
"What we were putting out wasn't coming back in," said producer Allen Buck, adding that the company used up $16 million in 2 1/2 years.
Frey sent an e-mail about Zoom Culture's closing to all employees about 8:30 a.m. Tuesday, which was followed by a staff meeting at 10 a.m., said Adam Touw, technology and support manager.
Employees were shocked by the announcement because Frey's replacement of Marty Lafferty as CEO on Dec 20 offered Zoom Culture renewed faith, reorganization and refocused efforts, Touw said.
Founded online from a two-bedroom apartment in 1999, the company had a significant number of UNC alumni on its initial staff.
It set up nationwide offices in cities including Los Angeles, Chicago and New York.
Zoom Culture was aimed toward a young demographic, its professional production teams working to train and give voice to a new generation of filmmakers.
This network of freelance film directors provided easily and quickly attained material for programming and was a strategy unique to Zoom Culture, said program creator and supervising producer Sue Herzog.