Arm Holdings lays off 70 Chinese software engineers
British software firm Arm has cut more jobs in its Chinese operation as it continues to adjust to challenging market conditions.
Reports in the South Morning China Post say Arm has made more than 70 software engineers redundant, though it will relocate some of the roles to other regions. The cuts come less than a year after Arm China trimmed its workforce by more than 100 in February 2023
Arm has endured a challenging year thanks to soft demand for electronics/smartphones and its own corporate dramas. In November, it gave a sales forecast for Q3 below analyst expectations – and China was one of the reasons why. Like others, Arm has suffered from restrictions that the US government has imposed on technology exports to Chinese companies. China's contribution to Arm’s global sales reportedly fell to about 20 per cent from 25 per cent in Q3.
In the meantime, there has been significant upheaval in Arm's corporate structure. Owner SoftBank tried to sell Arm to Nvidia in 2020 but the deal was halted by antitrust regulators in the US and Europe.
The company then IPOd in September after many years of ownership by SoftBank, which still controls about 90% of the shares