Shockwave, the company that offers original animated films on the Internet -- some of them produced by leading Hollywood filmmakers -- is acquiring AtomFilms, the Internet site that presents hundreds of both live-action and animated independent short films. The stock-swap deal will see Shockwave shareholders winding up with 70 percent of the combined company, while AtomFilms shareholders will own the remainder. The consolidation is expected to result in pink slips being delivered to about a third of the 300 employees of both companies.

Source: Studio Briefing