[pron]

Absolutely. Both Color and Venture Beat have some serious debriefing to do. Assuming Color is right, a lot of damage has already been done. In that case, in (serious, non-tabloid) print journalism, the publication's reputation would be tarnished; in online journalism, it may be just the company's. Somebody sure owes the public an explanation into what exactly just happened here.

EDIT: not somebody. It's Venture Beat that owes the explanation. Either they stand by the story even if they're willing to do that without full verification, or they must apologize for jumping the gun.