News

TikTok’s Parent Company Reportedly Forced To Downsize

It sounds like TikTok’s parent company is struggling right now. According to sources that spoke with the South China Morning Post, ByteDance is being forced to “aggressively” downsize its video game unit.

Sources said the Beijing-based organization had to strip Wushuang Studio of most of its staff through lay-offs and internal transfers. These moves reportedly came following the closure of 101 Studio this past June.

Despite this unfortunate news, the South China Morning Post said that ByteDance’s gaming unit will maintain operations in Shanghai for projects that have already commenced. Beyond that, the sources also said that ByteDance is cutting jobs at Jiangnan Studio, its Hangzhou-based game development studio.

As the South China Morning Post puts it, ByteDance had been relying on its gaming unit to diversify its revenue streams. However, the crackdown on gaming that has been levied by the Chinese government has made it incredibly difficult for the company to accomplish this goal. As a result, the organization was forced to make these reported job cuts.

(All information was provided by South China Morning Post)

0 comments on “TikTok’s Parent Company Reportedly Forced To Downsize

Leave a Reply

%d bloggers like this: