A pragmatic and well-judged management strategy in difficult times for a young company. Good luck to them.
Compare with the losers I used to work for, who terminated the entire design team behind a highly profitable and very fast growing product line. The engineer-phobic CEO didn't bother to conceal how much he enjoyed it.
The management focused instead on acquiring some buzzword-heavy technology, but that still hasn't yielded results despite the company being bet on it. They haven't had a profitable quarter for two years and now there's the recession. Oh dear.