Well this doesn’t come as a surprise but unfortunately it can’t be good. It seems that according to a recent article by Bloomberg, LeEco managed to delay the payment of its US employees for 4-5 days last week!
OK, perhaps for some of you 4 or 5 days doesn’t seem like something to report, but it is indeed, if you’re talking about a multi-million company with no experience in a foreign market, and hints at LeEco’s deep financial problems during the past 8 months. Don’t forget that the Chinese company had recently stalled the acquisition of US-based TV maker Vizio due to – possibly- the inability to come up with the $2 billion needed to complete it.
Gizchina News of the week
According to the same reports, the US office of the company is getting ready to close, and all those employees will be terminated, which is another blow to the company’s credibility. However, according to LeEco officials, the company is still there, fighting to become competitive by releasing soon, smartphones like the LeEco Le Max 3 for example (seen at the image above).
We will keep an eye on LeEco’s struggle to avoid the worst, and hope that the company will manage to overcome all of its financial issues.
RIP Leeco, no one will miss you… A total tragic example on how the Chinese will screw up.
RIP? They are still one of the biggest video streaming companies in China. While their adventure overseas haven’t gone that well, I doubt they are going under.
RIP LeEco USA
True. They are still big and widely popular in China with their Vid streaming services. The only thing in danger is their overseas ventures.
Debts goes overseas… Leeco is likely to being adquired by someone else due patents.
Their video streaming is great but still… Debts might affect them.
Doubts so. Their main business is still the video streaming business in China. LeEco’s issues come down to an expansion that burned more cash resulting in negative cashflow. They just need to climb out of the hole they dug. Even the selling of their land in the US was for a plot of land that they acquired from Yahoo for their future US headquarters.
RIP Leeco, no one will miss you… A total tragic example on how the Chinese will screw up.
RIP? They are still one of the biggest video streaming companies in China. While their adventure overseas haven’t gone that well, I doubt they are going under.
RIP LeEco USA
True. They are still big and widely popular in China with their Vid streaming services. The only thing in danger is their overseas ventures.
Debts goes overseas… Leeco is likely to being adquired by someone else due patents.
Their video streaming is great but still… Debts might affect them.
Doubts so. Their main business is still the video streaming business in China. LeEco’s issues come down to an expansion that burned more cash resulting in negative cashflow. They just need to climb out of the hole they dug. Even the selling of their land in the US was for a plot of land that they acquired from Yahoo for their future US headquarters.