Alibaba's metaverse subsidiary, Yuanjing, has laid off dozens of employees as it shifts its business focus towards metaverse applications.

Odaily Planet Daily reported that sources revealed that Alibaba Group Holding's metaverse subsidiary, Yuanjing, has recently laid off dozens of employees, impacting teams in both Hangzhou and Shanghai. In response to this news, a representative from Yuanjing stated, "As Yuanjing has completed the construction of its metaverse infrastructure, the business focus has shifted towards metaverse applications, leading to corresponding organizational adjustments."  
Sources indicated that the current Alibaba Yuanjing team is primarily focused on two directions: first, deepening its efforts in the tourism and industrial metaverse by collaborating with leading manufacturing enterprises to create model cases; second, integrating cloud gaming capabilities into Alibaba Cloud as an important component of cloud computing.  
Yuanjing was established by Alibaba Group as a brand for real-time cloud rendering, metaverse application computing technology, and metaverse services. It serves as China's metaverse cloud operating system and application computing architecture for the next generation of the internet.  
During the metaverse boom in 2021, Alibaba established its wholly-owned subsidiary "Yuanjing Shengsheng" with a registered capital of 10 million RMB, focusing on metaverse-related businesses. (South China Morning Post)

Alibaba's metaverse subsidiary, Yuanjing, has laid off dozens of employees, shifting its focus towards metaverse applications.