- Tencent Holding Ltd TCEHY has begun a new round of job cuts targeting video streaming, gaming and cloud businesses Reuters reports.
- The layoffs affected three of Tencent’s six businesses, namely Platform and Content (PCG), which includes its video and news platforms, its gaming-oriented Interactive Entertainment (IEG) division, and the Cloud and Smart Industries Group (CSIG).
- Tencent notified some IEG employees of their layoffs last week.
- Also read: Alibaba tops China’s cloud market list; Earn brownie points with Overseas Expansion
- Tencent already cut jobs earlier this year, next to peers, including Alibaba Group Holding Limited BABA and smaller Chinese tech companies like Xiaohongshu.
- In August, Tencent announced that its headcount fell from 116,213 in March to 110,715 by the end of June.
- Tencent aimed to expand globally to offset slowing growth in China.
- China’s tech sector continues to struggle with the impact of government crackdowns and zero-COVID measures have slowed the general economy.
- Tencent emphasized its focus on cutting costs and closing non-core businesses in certain areas, including Online education, e-commerce and live streaming of games.
- Price promotion: TCEHY shares traded 10.9% higher at $37.06 on the latest check Tuesday.
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