Latest Post

Impact Of Custom Software Development On Global Business Operations Google launches ‘sleep profiles’ for Pixel Watch UIL started Technology teaching for Literacy Educators Program Dark Mode in Windows 11 Uzbekistan influencer detained for ‘obscene’ Instagram video

China’s Tencent kicks off a fresh game of layoffs – sources. China’s tech sector continues to feel the effects of the government crackdown and zero COVID measures. Chinese tech giant Tencent Holdings (0700. HK) has launched new job cuts targeting its video streaming, gaming, and cloud businesses, four sources close to the matter said.

Releases will concern three of Tencent’s six business units

According to references, the releases will concern three of Tencent’s six business units – Platforms and Content (PCG), which includes of video and news platforms, and Games-focused Interactive Entertainment (IEG). There are divisions, Cloud and Smart Industries Group (CSIG).

Two authorities said some IEG employees were informed last week that they would be laid off.

Reuters was unable to determine the extent of job losses.

China’s tech sector continues to feel the impact of government crackdowns and headwinds from COVID-zero measures that have slowed the overall economy.

Tencent has already cut jobs earlier this year, along with rivals such as Alibaba Group (9988. HK) and small Chinese tech firms such as Xiaohongshu. Tencent said in August that its employee count had fallen. This is from 116,213 in March to 110,715 at the end of June.

Analysts expect Tencent to report a flat or slight decline on Wednesday. When it reports third-quarter results, according to Refintiv data.

Tencent’s management has said it has closed certain non-core businesses, including online education, e-commerce, and live streaming of games, as it focuses on cutting costs.

The Shenzhen-based company is looking to expand globally to offset slowing growth in China. Reuters reported last month that Tencent has realigned its M&A strategy, focusing primarily on buying control stakes in foreign gaming companies.

Several US tech companies, including Facebook parent company Meta Platforms (META.O), Intel (INTC.O), and Twitter, have also laid off thousands of employees recently.

Also Read,

Startups Struggle As The Tech Talent Shortage Continues

Remote players require a permit to technology

Leave a Reply

Your email address will not be published.