BuzzFeed, the online media giant, announced the closure of its news division as part of a broader plan to trim its workforce by 15%. In a memo to employees, CEO Jonah Peretti noted that BuzzFeed News, which earned a Pulitzer Prize for its investigative journalism, failed to turn a profit despite its impressive work.

The move will impact approximately 60 employees, though the company plans to absorb some into other divisions. Peretti acknowledged his “overinvestment” in the news division and his miscalculation of social media’s ability to support quality journalism financially.

BuzzFeed’s chief revenue officer and chief operating officer will also depart, but they will help with the transition. In his memo, Peretti expressed regret for the decision and assured employees that the company’s “changes and improvements” were necessary for its future success.

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