LeTV
LeCloud provides professional and leading video cloud services.
| Date | Investors | Amount | Round |
|---|---|---|---|
| investor | €0.0 | round | |
| investor | €0.0 | round | |
| investor | €0.0 | round | |
$129m | Series C | ||
| Total Funding | 000k | ||
LeTV, legally known as Leshi Internet Information and Technology Corp., Beijing, was founded in November 2004 by Jia Yueting. Initially established as a video streaming service, it was one of the first in China to offer subscribed content, earning it the nickname 'Netflix of China'. The company's business model revolved around providing a video-on-demand network, which later expanded into a diversified portfolio including smartphones, smart TVs, and cloud services under the reinvented LeEco brand. Revenue streams included paid memberships, content distribution, and advertising.
Jia Yueting, born to a modest family in Shanxi province, had a background in local tax administration before venturing into a series of businesses. His journey with LeTV began with the ambition to build a comprehensive entertainment and technology ecosystem. LeTV achieved a significant milestone by becoming the world's first IPO-listed company in its sector, going public on the Shenzhen Stock Exchange on August 12, 2010. At its peak in 2015, the company's market capitalization was reportedly $12 billion. The company's products included a video streaming service with a vast library of content, flat-screen smart TVs, and the LeCloud service. It also ventured into producing its own original content and hardware like set-top boxes.
However, the company's aggressive and rapid expansion into numerous unrelated sectors, such as electric vehicles (Faraday Future), real estate, and smartphones, created immense financial strain. This overextension led to a severe cash flow crisis starting around late 2016. Consequently, Jia Yueting resigned as CEO and chairman in July 2017 and fled to the US to avoid debt-related legal issues in China. The company faced numerous lawsuits from creditors and suppliers. Ultimately, LeTV was delisted from the Shenzhen Stock Exchange on May 14, 2020, after its market value had evaporated by over 99% from its peak. Jia Yueting later filed for personal bankruptcy in the US and was banned for life from China's securities market due to alleged fraud in the company's IPO.
Keywords: Leshi Internet, Jia Yueting, video streaming, video on demand, LeEco, smart TV, consumer electronics, online video, content distribution, LeCloud, Faraday Future, Chinese technology, Shenzhen Stock Exchange, digital media, entertainment ecosystem, streaming service, set-top boxes, smartphones, corporate finance, debt crisis