In the years 2015-2016 LeEco (previously LeTV) demonstrated rapid growth in many areas, at times it seemed that the company is poised to become one of the most prominent Chinese companies in the world. But late last year, it was found that the company’s expansion has cost the company a lot of money, and that did them lost. It became known today that the situation in LeEco catastrophic. Headquartered precipitated representatives of its partners, trying to recover from LeEco debt – it is not paid off with many of the works made more last year. Some refuse to negotiate for peace and served on the company to court, as, for example, made Jinyuan Technology, is responsible for promoting LeEco products. It requires the manufacturer of smart phones more than 60 million yuan(567905060.77 Indian Rupee). That the court will decide the dispute between LeEco and its spin-doctors, can not be predicted.
Lack of money for LeEco creates another problem. The company can not pay for the production of devices that could bring their income. Because of this, the sales forecast for this year the company reduced more than two times compared to last year’s results. In other words, LeEco waits for the results when smartphone sales drop by 55%. In accordance with this, the company reduces staff its Chinese office. According to observers in China, now LeEco has no potential for development of new devices.