Layoffs hit Bluetooth headset maker Aliph

The layoffs across the tech sector are hitting companies large and small.

The maker of the popular Jawbone Bluetooth headset has let several employees go, citing the economy as one of the main reasons.

(Credit: Aliph)

"Given the current economic climate and opportunities we have to more efficiently bring products to market, we are realigning our resources to increase focus on our core technology and products. As part of this effort, we have eliminated a number of positions in the organization," an Aliph spokesperson confirmed to CNET News Friday.

The spokesperson declined to say how many or from which departments those positions came, but a source tells us the company let go approximately 25 people, or 30 percent to 33 percent of the staff.

Bluetooth headsets saw a spike in sales over the summer, at least in California, following the state's new law barring talking on a cell phone while driving. The law allows for the use of earpieces and Bluetooth devices instead.

However, Aliph is funded by Sequoia Capital, the Silicon Valley VC firm that recently told all of its portfolio companies earlier this month to buckle down and tighten their finances if they wanted to survive the current economic downturn.

Aliph is based in San Francisco, and is also funded by Khosla Ventures.

[Xtoo]

No wonder they are not making any money.

I bought the Jawbone 2 in early July. The technology itself works ok (i give it a 6.5 out of 10), but the entire ear attachments are so poorly design!!! I know three people that can't get the Jawbone comfortably or securely in their ears. The hooks slip and skew, the earpiece pops-out.

The design is a complete disaster and many people either return them or just stop using them. How about a quick tip: License part of Sure's in-ear design.B ack to the drawing board Aliph!!!!