Everyone's getting sick of Steve Case


Perhaps former AOL CEO Steve Case should get better insurance for his workers at Revolution Health. When they're not lying down on the job, employees at his poorly run startup targeting the healthcare industry are dropping like flies. Here's the latest word from an insider:

On Wednesday, Tim O'Shaughnessy, one of the leading product managers, left along with 3 key developers to do their own startup. This is in addition to the departure of key lead developers last week that were laid off. During an employee lunch meeting today, the morale is at an all-time low.
Ah, but when other staffing plans fail, there's always nepotism.

Another tipster says that after the departure of most of Revolution Health's lead developers, the remaining stalwart is Todd Fisher, son of Revolution CTO Marty Fisher. Ah, family.

Revolution, conveniently, bought Todd Fisher's company, Simo Software, in 2005. Simo was one of four acquisitions by Revolution that year — all of which Revolution has since shut down or left to languish.

To make up for the traffic lost from its failed acquisitions, we hear the company is now pushing employees towards a goal of garnering 5 million Web visitors in five months. To meet that goal, Revolution is spending heavily on search-engine marketing — as much as $700,000 a month, a tipster says. Not that advertising on search engines is such a terrible idea, mind you, if done well and frugally. But at that spendthrift rate, will Revolution have much money left to enter the bidding for diet site SparkPeople, which it's rumored to be interested in?

(Photo of Tim O'Shaughnessy by Robert A. Reeder for The Washington Post)