Which companies are losing money in China?
The biggest companies in China’s technology sector are facing a tough time and the biggest losers have nothing to do with their business in China, according to the Chinese government’s statistics agency.
China’s National Bureau of Statistics said Thursday that revenue for the tech industry declined by 3.4 percent in the first half of the year, a drop of 20 percent from the same period last year.
Revenue from hardware and software, meanwhile, fell 6.4 to $3.2 billion.
The fall was driven by a drop in the number of people working in China.
The National Bureau said revenue fell by 14.5 percent from a year earlier to $5.9 billion.
Meanwhile, profits for the IT and media sectors fell by 6.9 percent to $1.9 trillion.
The IT sector is where most of the tech companies’ profits are made.
In terms of revenue, the IT sector accounted for a third of China’s total in the third quarter of this year.
That’s a far cry from the $10.4 billion that tech companies earned in the fourth quarter of last year, when revenue was $13.9, according the China Association of Technology Companies.
China is the world’s largest technology market.
The country is currently battling a pandemic that has claimed more than 10 million lives.
The number of infected people in China is expected to surpass the 100 million mark this year, according China’s state-run Xinhua news agency.