20 February 2019
Smartphone maker Gionee has been facing tough times, with the company going bankrupt last year. The company official Gionee China website has now been shut down, which has led to the speculation that the company is shutting down its business in China. The Gionee India site is still up and running as of now, however, that could be taken down as well in the near future.
According to reports, Gionee’s problems are as a result of its owner’s gambling problems who has billions of dollars in unsettled debts which have eventually led to its bankruptcy.
The Chinese smartphone maker has never been as popular as other Chinese device makers like OPPO, VIVO. However, its devices were known for their gargantuan battery capacity. The company started facing troubles in 2017 when the company was embroiled in a state of financial crisis turmoil as it owned over CNY 20.2 billion ($3 billion approximately) to 648 creditors. The company has reportedly been unable to pay its ad agencies and suppliers for a long while.
Last year, the company’s chairman lost CNY 10 billion ($ 1.4 billion approximately) in a bet at a casino. He had initially denied the allegation, however, later owned up to borrowing a chunk of the company’s fund. The company was granted application for bankruptcy by the Shenzhen Intermediate People’s Court late last year.
The company’s Indian arm has launched a couple of devices last year, though it hasn’t launched a noteworthy smartphone for a while now. The Chinese firm is finally out of business, however, there is no official statement from the company as of now. We will have to wait and see if it’s the end for Gionee.