Bitmain starts staff optimization and organization streamlining to prepare for Bitcoin halving

Recently, several people familiar with the matter confirmed to Wu Blockchain that Bitmain had launched a personnel optimization plan at the end of 2019.

An insider of Bitmain revealed that the company is currently operating normally with healthy cash flow. The optimization is just a "slimming plan" to cope with the halving, and it is also a corrective measure against the former chairman's arbitrary expansion of the business.

Last weekend, Wu Jihan held a relevant meeting and asked all department managers to submit optimization lists. Bitmain will hold its annual meeting on January 17, and it is expected that the optimization plan will be completed before the annual meeting.

It is reported that the reason is that the mining industry is facing pressure from the halving of Bitcoin, and the company needs to streamline its organization to "survive the winter" while focusing on its core business and maintaining its technological leadership.

Compared with its competitor Shenma Mining Machine, which has a staff of 100, Bitmain has more than 1,000 people, which is relatively redundant. Industry insiders said that the current trend of Bitcoin is unclear, and the Bitcoin halving in May is a huge uncertainty for mining machine companies. Bitmain should indeed optimize its staff.

When Wu Jihan took office, he started a round of salary increases for all employees. Most employees, except for management, have already received a salary increase of about 20%. Later, a customer conference was held in Chengdu to launch the "three-pronged approach" to sales. The Antminer S17 series products are being shipped on a large scale, replacing the S9, which is close to the shutdown price.

A suspected Bitmain employee broke the news on Maimai, saying that the AI ​​business had already found a joint venture partner, but was rejected by the former chairman, which was one of the reasons for the optimization. An insider of Bitmain said that this optimization was also a correction to the former chairman's arbitrary expansion of business and arbitrary use of funds.

It is reported that AI business will become the focus of optimization because it cannot generate profits. The mining machine business is currently being promoted intensively and will be relatively safe in order to maintain the leading edge of technology in the industry.