LinkedIn, the professional networking platform, has announced that it will be shutting down its China-focused app, known as “Chitu,” amidst a major restructuring effort. The move comes as LinkedIn, which is owned by Microsoft, seeks to refocus its efforts on its core businesses and cut costs.
The Chitu app, which launched in 2015, was designed specifically for the Chinese market, and featured a variety of features tailored to local users. However, the app struggled to gain traction in a crowded market dominated by Chinese social media giants like WeChat and Sina Weibo.
In a statement, LinkedIn said that the decision to shut down Chitu was part of a larger effort to simplify its product offerings and focus on its core services. The company said that it remains committed to the Chinese market, and will continue to offer its flagship platform in the country.
“We have made the difficult decision to sunset the Chitu app in order to focus on delivering the best possible experience to our members in China through our core LinkedIn app,” the statement read.
The move comes amid a broader restructuring effort at LinkedIn, which has already seen the company cut hundreds of jobs and reorganize its sales and marketing teams. LinkedIn CEO Ryan Roslansky has said that the restructuring is aimed at making the company more agile and responsive to changing market conditions.
However, the decision to pull the Chitu app from China may be seen by some as a significant retreat from the Chinese market. China is home to the world’s largest internet user population, and is seen as a key growth market for many tech companies.
The move also follows a series of high-profile regulatory crackdowns on foreign tech companies operating in China. In recent years, the Chinese government has tightened its control over the internet and cracked down on everything from online content to data privacy.
Many foreign tech companies, including Google, Facebook, and Twitter, are blocked in China, and those that do operate in the country are subject to strict government censorship and scrutiny.
For LinkedIn, the decision to shut down the Chitu app may be a sign that the company is finding it difficult to navigate China’s complex and ever-changing regulatory landscape. It remains to be seen whether the move will have a significant impact on LinkedIn’s business in China, or whether the company will be able to find new ways to grow in the country.
In the meantime, LinkedIn’s decision to pull out of the Chinese market underscores the challenges facing foreign tech companies in China, and highlights the need for companies to carefully consider their strategies for operating in this challenging and unpredictable market.
