SearchMe, a promising startup in the search space, is laying off 1/5th of its employees. And yes, they are another Sequoia-portfolio company.
SearchMe was another of the startups trying to carve a niche in Google's backyard; their tack - 'visual' searches. You should try them, they are an interesting take. And given they have almost $44 Million in funding, and one of the most successful serial entrepreneurs as a founder, (Randy Adams, with over 4 successful startup exits to his credit), they have a good chance of weathering the downturn.
It is a totally different question as to whether their visual search method helps them get anywhere.
In the screenshot below, I searched for Kosmix on SearchMe.com
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