The mobile industry is a battleground. While some companies record growth others struggle to stay afloat. Latest reports say Chinese smartphone manufacturer, Smartisan belongs to the latter category.

Last week, a Chinese publication reported that Smartisan is facing a crisis. It said it is planning a massive layoff (about 60%) as the company is facing financial difficulties with more than half of its income gone. The article also mentioned issues with the TNT workstation and that the CEO, Luo Yonghao was suffering from depression.

Mr. Yonghao saw the article and claimed it was inaccurate. He even threatened to sue the publication. Later that day, the official Smartisan Weibo account shared a letter it sent to the publication saying the post was filled with baseless accusations against it and its CEO. The memo also requested that the publication retract the post or face legal consequences. However, the publication responded that it wasn’t afraid of a lawsuit as it had multiple sources to back up its claims.

In a separate Weibo post, the CEO touched on the issue about his health. He revealed that there are actually a number of partners and investors who believe he is battling depression and as the person in charge, he is required to provide a medical certificate to the board.

Today, another report surfaced, saying that Smartisan has admitted to the claims that it is facing a crisis. The company was said to have come clean in an interview with Securities Daily, a local publication. It didn’t go into details but requested that it be given more time, probably to sort things out.

READ MORE: Smartisan announces humidifiers, tripod, Level 8 suitcases, and smart speaker

Once again, Mr. Yonghao has denied it and said the claims are false and salaries are not owed. Apparently, the publication alleged it spoke to a Smartisan staff and is not willing to disclose his identity.

(Sources: 1, 2, 3 | Via)

The post Smartisan reported to be facing crises, CEO denies it appeared first on Gizmochina.

Smartisan Technology Co. LTD is a Chinese smartphone company known for its uniquely designed phones. Founded in 2012, the company has launched about 7 phones so far including the Smartisan Nut Pro released this year.

The Nut Pro might have been the last smartphone from the manufacturer as the company was fighting collapse. But thanks to fresh funding, Smartisan will remain in the market.

The co-founder and CEO, Luo Yonghao revealed at the Geek Park’s Rebuild 2017 conference that they have raised ¥1 billion (∼$150 million) from investors. The money according to the CEO will be used to ramp up production, resulting in it releasing five to six smartphones that cover every category instead of the usual two per year.

Last year, Smartisan was at the verge of collapse and rumors were floating round that Xiaomi was going to acquire them. While no details about the investors were made public, it won’t come as a surprise to learn Xiaomi is one of them.

READ MORE: Smartisan Nut Pro Teardown: Big Upgrade From Previous Models

Now that it plans to release more smartphones, Smartisan may gain more customers since its products won’t be limited to only one category anymore. It’s latest smartphone, the Nut Pro has received positive reviews since it launched. However, an official sales figure wasn’t provided.

(Source)

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