Google China partners warn of layoffs, possible closures
A letter from 27 advertising resellers, published on the website of state broadcaster CCTV, warns of staff layoffs and possible bankruptcy in the wake of Google’s exit from China.
One of the signatories to the letter – addressed to John Liu, the head of
Google’s China sales team - confirmed its authenticity, the Wall Street Journalreported.
The letter said they “cannot understand why, until this day,
Google has not communicated with us how the matter will be solved, nor negotiated with us about” how to solve the issue.
It revealed that most of the companies primarily sell
Google ads and many of their customers have made prepayments for ads.
One company, Zoom Interactive, told the WSJ that it sold that it sold
Google ads to more than 1,000 clients, highlighting the potential scale of the issue.