Re: re. "a mass streamlining ....etc"
While I do, agree - in jest - with that, I think that, language aside, this mass lay-off was actually warranted. I don't say that lightly but it seems that their only other choice was to close-shop and thereby lose everyone, which would be the worst outcome.
They were floundering and the hot cash injection seemed to come with the condition that they quickly shed large amounts of overhead. Unfortunately, there is simply no quicker way to do that than to close offices.
It's regrettable, to be sure, but the fact that this was nearly forced upon them, coupled with the fact that the founders themselves went out to deliver the bad news in person means that I think that this is one of the (few) instances where a mass layoff of staff has not been done in order to increase the value of your stock by half a percent or to reach a target for some performance bonus. (Which amounts to taking all the pay from the fired staff and giving it to the CEO - ;blood money', really.)
So, since this did not seem to be purely for profit but was instead a last-ditch attempt to keep the company alive, and taking into account the personal responsibility the founders evidently felt (otherwise why go in person?), I think that, while the frustration and upset of the staff is fully understandable, their behaviour is reprehensible.