Sifry Resigns, Layoffs At Technorati

[qi:004] BREAKING: Oh oh…. there is some breaking bad news out of Technorati. The blog search service is going to layoff eight people and David Sifry is stepping down as the CEO. The company has been looking for a CEO for a while, and has been burning through ton of cash, and this move it seems is a way to extend the runway for Technorati, which does have money in the bank.

Technorati was one of the early start-ups to see the potential of the new web, but seemingly picked a business where Google was eventually going to make its presence felt. The market opportunity for pure blog search remains limited.

Previously on GigaOM:

* Dazed, Confused & Technorati.
* Do we really need RSS-Blog Search?

Disclosure: Technorati competitor Sphere is backed by True Ventures, investors in GigaOM