ChaCha Raises Cash, Lays Off Staff

ChaCha Search Inc., a Carmel, Ind.-based search startup, has raised $12 million in Series C funding. peHUB had previously reported that it had secured $11 million of a $30 million-targeted round, based on a regulatory filing. No new shareholders were disclosed. The company had previously raised around $14 million from Morton Meyerson, Bezos Expeditions, Rod Canion (founding CEO of Compaq) and Jack Gill (partner at Maven Ventures). It also had secured a $2 million grant from 21st Century Technology Fund. In related news, ChaCha said that it would "streamline and restructure itself to preserve cash." VentureWire reports that this means 25 of the company's 81 employees were let go.

North AmericaUSBriefs