Qatar-based cable news network, Al Jazeera Media Network has announced a plan to shut down its American subsidiary, Al Jazeera America (AJAM), over unfavourable “economic challenges”.
Al Jazeera America came into operation less than three years ago, in August 2013, with the $500 million acquisition of cable news channel Current TV earlier in the year.
Current TV was co-founded by former American presidential aspirant Al Gore.
According to CNN, up to 700 staff could lose their jobs if the plan to shut Al Jazeera America on April 30 goes through.
In a statement emailed to staff on Wednesday, AJAM CEO Al Anstey said the decision became “driven by the fact that our business model is simply not sustainable in light of the economic challenges in the U.S. media marketplace.”