The company, which outflanked Xiaomi, Oppo and Vivo with an advertising budget as high as Rs 80 crore a month, had exited sales through offline retail stores in December.
A company spokesperson declined to comment on the layoffs when contacted.
According to a new report, Chinese giant, LeEco, is contemplating an exit from the Indian smartphone market.
It has only been four months that Jia Yueting, founder of LeEco, announced that his company was fast running out of cash, and now, as per reports, the company has fired 85% of its India staff, followed by two leadership exits. After November of a year ago, sales of LeEco products in the country have also taken hit.
Note that in November previous year, LeEco's co-founder Jia Yueting said that the company was running out of cash in its bid to expand its businesses from electric cars to smartphones.
The company is left with a limited number of staff at its Mumbai and New Delhi offices and is now firing staff from its research and development centres in Bengaluru, the report said.
In the email sent to his employees, Jia wrote "We blindly sped ahead, and our cash demand ballooned".
Chinese technology company LeEco on Friday denied media reports that it is planning to quit it's India operations amid news of the company facing financial crunch. Already, the company has lost some of its top executives in India. He said the flagship models will not be launched in India. "That has been the primary objective in taking certain measures, though the numbers [of layoffs] indicated are incorrect", Li said in a statement. However, a senior executive with aleading ecommerce marketplace that does business with LeEco said the company is preparing to exit India as it has been struggling to find a winning formula, with demonetisation further hurting sales.
A former LeEco employee told BGR India, "The company was on a hiring spree till October previous year that just a month before things nose-dived".
As said earlier, the company has acknowledged reducing the team size in the country but maintains it is "in line with industry benchmark".