LeEco might lay off more than a third of its US workforce
LeEco entered the US market last October and had big plans for the future. Sadly, they ended up facing a harsh reality and now the Chinese brand is forced to drastically reduce its presence on US soil.
According to Bloomberg, LeEco generated less than $15 million in revenue last year in the US, far less than the original goal of $100 million. The unnamed source who spoke to Bloomberg Technology also revealed that "the U.S. unit is also making plans to eliminate about 175 jobs, which would shrink its staff in the country to about 300 people."
LeEco declined to comment, but they already abandoned the plan to acquire Vizio Inc. for $2 billion due to regulatory hurdles (at least that is what they say). Since the company also sold its 49-acre Silicon Valley property, the situation looks grim, and we will probably see an official statement about the layoffs in the coming weeks.