vivo to merge iQOO into its main business in order to cut costs
It's not uncommon nowadays to read about tech companies implementing cost-cutting measures these days and vivo is the latest company to go in that direction. The company just announced that it's merging its sub-brand iQOO into its main business in order to reduce operating costs and boost efficiency. Which is mostly another way of saying that the firm is laying off some of its staff.
It's no secret that vivo and iQOO are sharing R&D, supply chain and just about every resource, except for some marketing and distribution channels. iQOO smartphones are even running the same software as vivo's phones. However, e-commerce strategies, planning and media targeting were separate unit this point.
The new move will turn iQOO into just a regular lineup within vivo's portfolio. vivo's management reportedly considers closing down iQOO's independent stores and counters too.
Source (in Chinese)