BEIJING, May 9 (TMTPOST) — Multinational tech company Texas Instruments dismissed layoff rumor in China on Monday, according to a news report by Chinese financial media Yicai.
The company told Yicai that its division in China does not have any layoff plan. China is the most important market across the globe and Texas Instruments will continue to invest in the Chinese market, the company said.
The company had pulled out its microcontroller research and development team in Shanghai and transferred the research and development of its microcontroller product line to India, integrated circuit industry analyst firm JW Insights reported on May 7, citing an industry insider.
The alleged job cuts look more like business adjustments, triggering staff transfers to other divisions, as Texas Instruments faces increased competition from local microcontroller manufacturers, an analyst close to the company said.
Texas Instruments has established a comprehensive support system in China, including a manufacturing base in Chengdu, two product distribution centers, three research and development centers and 20 sales and technical support subsidiaries across China.
As a leader in semiconductor and integrated circuits, Texas Instruments has business operations across the globe. In the 1950s, the company started operations with sales, marketing and technical support in Asia, later expanding to cover businesses such as semiconductor assembling and testing.
Texas Instruments entered the Chinese market in 1986. With the board’s approval, the company started to implement the T1 development strategy in China, a strategy that aims to help China establish a reasonable electronic product structure and improve the country’s ability to design high-tech products.
The company set up a semiconductor agent network and sales and technical subsidiaries in around 20 cities in China to gain convenient access to its clients. The company had also set up research and development centers and product teams in Beijing, Shanghai and Shenzhen, mainly responsible for the research and development of hardware and software development.