LeEco is a giant conglomerate in China. The company offers a range of services -- from online streaming service, to smartphones, to TV, to electric cars. On top of that, the company has been aggressively expanding into different markets with India and the United States being the two notable ones
. How does it make so much cash? You wonder. It doesn't actually, according to the CEO, who has informed the employees that the company is quickly running out of cash
. An anonymous reader shares a Bloomberg report: The billionaire chairman of China's LeEco has admitted his technology empire is running out of cash to sustain a headlong rush into businesses from electric cars to smartphones. In a lengthy letter to employees, company co-founder Jia Yueting apologized to shareholders and pledged to slash his income to 1 yuan (15 cents), slow LeEco's madcap pace of expansion, and move the company toward a more moderate phase of growth. LeEco is the umbrella holding company for a sprawling family of businesses that includes sports media, automobiles, smartphones and TVs. The company known for its LeTV streaming service has aggressively pursued funding and placed bets on new ventures, from an electric car plant in Nevada to a $2 billion acquisition of California TV maker Vizio Inc. "No company has had such an experience, a simultaneous time in ice and fire," Jia wrote in a letter, obtained by Bloomberg News, describing LeEco's rise and subsequent issues. "We blindly sped ahead, and our cash demand ballooned. We got over-extended in our global strategy. At the same time, our capital and resources were in fact limited."