It announced this morning that it was to cut another 70 staff from its headquarters in Sweden due to the current difficult market conditions.
In February, it axed 325 jobs and sold off assets, after revealing that its full-year losses had widened to SEK2.43bn (£170m) in 2000.
The company sold its BrandLab assets in London, Stockholm and Berlin to FutureBrand, a subsidiary of the Interpublic Group of Companies. Interpublic is Icon Medialab's largest shareholder.
In December, chief executive Ulf Dahlsten resigned.
In a statement, the company said that it was a very difficult and hard decision to lay off staff, but there was no other option available as it faces the general slowdown of the economy.
Michael Gustafsson, regional director of Icon Medialab, said, "Our shareholders, clients and not the least our staff have the right to demand a profitable and successful business going forward. We are continuously managing the cost base of the company, and the market situation in Sweden has forced us to do this reduction of the workforce."
Icon Medialab will employ 300 staff in Sweden after the reductions and about 1,300 in total across 15 countries.
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