Caixin Global – Latest China News & Headlines

Home >


CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

Trending in China: Shenzhen Thinks Only Children Should Get Paid Leave to Look After Their Parents - Cue Heated Debate
German Drugmaker BI Launches Shanghai Center to Harness Chinese Expertise
Chinese Self-Driving Truck Firm Aims to Cover Most of U.S. by 2024
Trending in China: Chinese Netizens Tell Indian Prime Minister Modi To ‘Shut The Door On The Way Out’ As He Quits Weibo
Trending in China: If You Can’t Beat Them, Join Them – Why Tencent is Laughing At Itself
Meituan Eyes Robot-Enabled Deliveries with $14 Million Investment in PuduTech
India Ban Could Hit TikTok’s Parent Company to the Tune of $6 Billion
Sina Weibo to Issue $750 Million in Bonds
Embattled Leshi Forced to Sell Smart TV, Livestreaming Trademarks and Swiss Cleaning Carmaker Launch Driverless Street Sweeper
Trending in China: How an ‘Old Godmother’ Took on China’s Internet Giant and Won
China’s IT Spending Expected to Hit $297 Billion: IDC
TikTok Moves Data Protection of European Users from U.S. to U.K. and Ireland
Trending in China: Dazed and Confused – China’s Elderly in Online Pandemic World
Alibaba-Owned Taobao Live Sacks Former Operating Head for Corruption
Tesla Supplier CATL Breaks Ground With New Battery Lab
Chinese Online Educator Zuoyebang Receives $750 Million Investment
Didi to Halt Service in Several Japanese Prefectures Citing Impact of Covid-19
Trending in China: ‘Robotaxis’ A Brave New World or Creating More Unemployment?
Lazada Appoints Former Alibaba Executive as New CEO
Debt-Ridden Smartphone-Maker’s Eccentric CEO Placed on ‘Restricted Consumption List’

By Zhao Runhua / Nov 04, 2019 02:37 PM / Business & Tech

Photo: VCG

Photo: VCG

Debt-ridden Chinese smartphone-maker Smartisan Technology is betting on a deal with Bytedance to dig it out of trouble. But its founder and CEO Luo Yonghao is already feeling the pinch.

The eccentric entrepreneur has been placed on a so-called restricted consumption list after a Smartisan subsidiary he controls failed to complete a payment of an undisclosed sum to an electronics company, according to a court filing in the eastern city of Danyang.

The move essentially bars Luo from costly consumptive behaviors, such as booking flight tickets and staying in luxury hotels.

Luo’s newfound parsimony comes after Smartisan announced a tie-up with internet giant ByteDance in July. The two companies plan to develop a phone together.

But the deal has done little to improve the operational crisis at Smartisan. Since the second half of 2018, the company has been paying back around 600 million yuan ($85 million) in debt owed to banks, vendors and partners. Luo claims the company has so far repaid roughly 300 million yuan.

Luo, a business icon known in China for his humble origins and eye-catching marketing stunts, wrote Sunday on microblogging site Weibo that he would help Smartisan clear its debts and would not file for bankruptcy, even if saving the company means “performing to earn” — seemingly a reference to the off-the-wall speeches for which he previously gained notoriety.

Related: ByteDance Ties Up With Smartisan, Says It’s Making a Phone

Share this article
Open WeChat and scan the QR code