Autobytel Shrinks Its European Component

Autobytel.com Inc. said Friday it will cut its 20-employee work force significantly in Europe as the Irvine company reduces business there.

Autobytel, which provides online automotive-buying services, formed a holding company, Autobytel Europe, to coordinate its businesses there. Its Web sites in Europe are run by licensees of the company’s technology.

“The objective of Autobytel Europe was to find new licensees in new countries,” said Ariel Amir, general counsel and executive vice president of Autobytel. “The capital markets being what they are with respect to funding online ventures, we have decided to decrease the staffing.”

Amir declined to say how many employees would be cut.

Autobytel said it will continue to operate Web sites in Britain, the Netherlands, Japan, Canada and Sweden.

The company’s shares, which have fallen 77% in the past year, rose 1 cent to $1.41 in Nasdaq trading.