China TechFaith mobile
Cell phone designer China TechFaith Wireless Communication Technology has laid off nearly half its work force and appointed a new deputy Chief Executive Officer.
The moves are part of the Beijing-based company’s plan to focus more narrowly on higher-end mobile phones as it works to stave off competition.
At the end of the second quarter, China TechFaith said it employed 700 people, down from 1,300 at the end of the first quarter.
The company said it will take a charge of about $2 million in the current third quarter related to severance costs, but that it will save about $3 million in operating costs starting in the fourth quarter.
China TechFaith also announced executive-level changes as part of the restructuring.
Xiaonong Cai, a six-year veteran of the company, replaced Bob Huo as deputy CEO. Huo resigned to pursue personal interests, according to the company.
The cell phone company also named a new president, Shugang Li, replacing Gilbert Lee, who will remain on the board.
Source: CNN Mobile