ByteDance starts layoffs in its casual game unit Ohayoo - PingWest

ByteDance starts layoffs in its casual game unit Ohayoo

ByteDance starts layoffs in its casual game unit Ohayoo

October 23, 2021 0:41 am

TikTok's parent company ByteDance started layoffs last Friday on the grounds of business adjustments in Ohayoo, one of its game departments, people familiar with the matter told PingWest.

Details:

"The company only leaves employees one month to complete the internal transfer, and most of the new graduates have been dismissed," said the people, adding that Ohayoo's R&D center has been greatly affected with 50 people being laid off.

According to the source, although Ohayoo has made internal adjustments, a new game project that may be related to game release was launched in Guangzhou during the same period.

Ohayoo contributed billions of dollars in revenue, but it was still at a loss after including advertising and labor costs, said the people.

Founded in 2019, Ohayoo focuses on casual mobile game development and distribution. In March this year, it has scored a video game hit in Japan with martial arts-themed Combat of Hero. As of October this year, Ohayoo has released more than 150 games, with more than 80 million monthly active users.

Context:

Gaming business is considered to be one of the key businesses for ByteDance to diversify its monetization channels, and the company has been beefing up investments and offerings in the sector.

The entire game business is composed of three divisions, Nuverse, Ohayoo and Pixmain, with 2,000 employees scattered in offices in Beijing, Shanghai, Hangzhou and Shenzhen.

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