Hong Kong: Based in China ByteDance closed a game development studio, laying off more than 100 employees, according to media reports.
ByteDance, ICT Tacthe parent company of, close the ‘101 Workshop‘ in Shanghai that she acquired three years ago.
“TikTok owner ByteDance is disbanding one of its major game studios due to its disappointing performance,” Nikkei Asia reported.
The video game studio had about 300 employees and according to the report, some of them have transferred to other verticals within ByteDance.
ByteDance’s 2019 acquisition of the core group behind 101 Studio was “seen as laying the groundwork to challenge the dominance of Tencent Stakes in mobile games”.
The development came as TikTok planned to make a major breakthrough in gaming.
The short video creation platform is said to have conducted tests allowing Vietnamese users to play games in its app.
According to TikTok, the only game currently available to users on its platform is Zynga’s “Disco Loco 3D,” a music and dance challenge mini-game.
ByteDance is also likely gearing up to join the virtual reality (VR) space.
ByteDance aims to invest “tons of money” in VR-related content, reports Protocol.
More than 40 job openings have appeared for Pico, the Chinese VR headset maker that ByteDance acquired last year, according to reports.