ByteDance's Gaming Unit Shakes Up with Massive Layoffs as It Takes on Tencent's Dominance
ByteDance, the parent company of TikTok, is restructuring its gaming unit, leading to job cuts in its subsidiary Nuverse. The move aims to focus on core operations and compete with industry leader Tencent.
Chinese tech giant and owner of popular social media platform TikTok, ByteDance, is undergoing a significant restructuring in its gaming unit, leading to hundreds of job cuts, according to sources. ByteDance subsidiary Nuverse, a video game publisher, will see a round of layoffs affecting several hundred employees. The company stated that the restructuring is a result of a review of its businesses and a focus on long-term strategic growth areas.
TikTok parent ByteDance to cut 1,000 gaming jobs in strategic shift
— Paul Triolo (@pstAsiatech) November 27, 2023
Layoffs come as China company intensifies efforts in generative AIhttps://t.co/5UBf19ZcZo via @NikkeiAsia
Despite previous major investments in the gaming sector, ByteDance has decided to scale back its gaming business and concentrate on core operations. The move comes as ByteDance attempts to catch up with industry leader Tencent, which dominates the global gaming market and has invested in game studios worldwide. Despite the downsizing, ByteDance's gaming division will not be completely shut down and games with active players will continue operations while assets are divested.
