Communications company Easynet will cut 90 jobs following a drop in demand for space on its network from other telecoms companies.
The company has stated that it will now concentrate on providing its services to business customers.
EasyNet is currently providing a service to 30,000 business customers on its network, which is largely made up of the Ipsaris business it bought last summer from telecoms equipment maker Marconi, in the deal that gave Marconi a 72 per cent share in Easynet.
The company has also lost its chief executive, Neil Rafferty, who joined the company last June after the Ipsaris merger.
He will be replaced by executive chairman Neil Rowe.
Easynet announced a loss for the financial year ended December 2001 of £292.7m, compared to a loss of £12m a year ago.
It will write down the value of its UK network from £350m to £15m.
Since the Ipsaris acquisition Easynet's value has fallen from £475m to under £100m.
The company will shut its startup businesses in Italy and Switzerland as part of the cost-cutting drive.
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