The Flip video camera is just one of the casualties of a multi-tiered shutdown for CISCO. The company announced this morning that a restructuring will take place, which will not only discontinue the Flip, but cut 550 jobs. The purpose of the shake-up is to allow the company to focus its attention on the profitability of the home networking business.

CISCO CEO John Chambers recently issued a press release admitting problems in the networking company, stating that lack of discipline and slow decision making are to blame. So, after spending $590 million in 2009 on the purchase of Pure Digital (the company that originally produced the Flip), Chambers has decided it's best to shut down Flip production as part of its consumer business reform.

The FlipShare service, which allows users to share their homemade videos online, will continue to serve its customers and promises to come up with a transition plan, despite the changes at CISCO.

Smartphones equipped with cameras have taken from the sales of handheld video cameras, not excluding the Flip. This particular camera, however, has been popular in recent years, especially considering the prominence of YouTube, because of its convenient size and user-friendly manageability. It has earned praise from celebrities such as Paris Hilton, Beyonce, and even the all powerful Oprah. We use one here at eZanga to document our accolades, public appearances, and many practical jokes. As Flip users, it's unfortunate to see the Flip flop.