Chinese Internet and technology company LeEco announced plans to cut about 325 employees and significantly reduce its research and development business in the U.S.
According to LeEco, this employee layoff will affect all departments. However, the research and development team was hit the hardest. The company's San Diego office, which is mainly comprised of its R&D team, will be closed, and employees who survived this layoff will mainly provide services to customers who already bought LeEco's products.
An insider revealed that after this restructuring, LeEco's employees of American business will decrease to about 50 people.
Meanwhile, LeEco will suffer executive losses. Rob Chandhok, who is responsible for R&D business in North America, and Danny Bowman, LeEco's chief revenue officer, will depart the company.
LeEco will continue to sell smartphones, smart TVs, TV set-top boxes, and accessories in America. However, after this restructuring, the company's marketing activities will target Chinese-speaking customers in the country.