Okay, so how do we start with the bad news? It’s heartbreaking to admit but LeEco is really downsizing. This is against the earlier plans to expand in the United States last October. You see, the company already scheduled to launch Android devices in the country, hoping to conquer the American market. The OEM did start selling direct to consumers complete with rebates. Sadly, the group quickly saw financial challenges which prompted the CEO to get a salary cut.
LeEco continued to sell phones on Target.com plus smart TVs on Amazon. Android-powered smart bikes were even revaled at the CES 2017. Now we’re more interested in how the brand is actually doing as we just heard reports that it is downsizing up to the point of even selling the property in the US. It appears the expansion is far from becoming a success and things are getting worse.
LeEco is believed to be selling its 49-acre property in Silicon Valley orginally bought from Yahoo according to Reuters. Obviously, it’s a cost-cutting effort so that EcoCity dream will no longer happen.
LeEco hasn’t made any official announcement or comment yet when asked by the media group but they are believed to be selling the property for $260 million to Genzon Group. The latter is a Chinese developer and the price is about $10 million more than the original price LeEco paid for the property. We’re crossing our fingers that LeEco’s luck would turn but you know in gadget town, it’s not always easy like that.