Skip to main content

Report: LeEco to lay off over 80 percent of U.S. workforce tomorrow amid restructuring

According to a new report from CNBC, Chinese smartphone and TV manufacturer LeEco is expected to announce massive layoffs tomorrow. Citing a leaked memo, the report says that LeEco employees are being called to an all-hands Town Hall Meeting tomorrow where restructuring will be the main topic…

As for the extensiveness of the layoffs, CNBC reports that sources tell it that their will be only 60 employees left afterwards, whereas the current headcount in the United States is over 500 people.

LeEco is asking that all employees attend the meeting, which will take place at 10 AM PST in San Diego. Those who can’t attend are asked to call in.

In addition to the layoffs, LeEco is expected to announce a restructuring strategy that will see it refocus on encouraging Chinese-American consumers to “watch LeEco’s Chinese content library.” LeEco originally got its start as a streaming media provider, commonly referred to as the “Netflix of China.” The company then attempted to break into the United States with a lineup of TVs and smartphones at affordable prices.

Under the restructuring, LeEco will refocus on encouraging Chinese-American consumers to watch LeEco’s Chinese content library, one person said.

It may also continue to invest in Faraday Future, a company backed by LeEco that’s attempting to build an electric car, sources said.

While LeEco has yet to comment on this report, we will be sure to update if it does.


FTC: We use income earning auto affiliate links. More.

You’re reading 9to5Google — experts who break news about Google and its surrounding ecosystem, day after day. Be sure to check out our homepage for all the latest news, and follow 9to5Google on Twitter, Facebook, and LinkedIn to stay in the loop. Don’t know where to start? Check out our exclusive stories, reviews, how-tos, and subscribe to our YouTube channel

Comments

Author

Avatar for Chance Miller Chance Miller

Email: Chance@9to5mac.com

Chance currently writes for both 9to5Google and 9to5Mac, in addition to 9to5Toys.