Shopee withdraws from several Latin American countries while Free Fire suffers casualties

Both products belong to the giant Sea Ltd of Singapore , which has made drastic decisions.

An Asian company that wanted to compete with Mercado Libre in Latin America is having a hard time and announces its almost total closure of operations in the region.

Sea Ltd is a Singapore-based conglomerate that brought Shopee , its e-commerce division, to several Latin American countries .

In an internal email referenced by Reuters , Shopee CEO Chris Feng announced that the company will focus on a “cross-border model” in Mexico , Colombia and Chile , laying off dozens of employees in those countries.

In the case of Argentina , Shopee will withdraw completely. According to América Economía , Shopee ‘s subsidiary in Brazil will remain intact since he has managed to become a dominant player in that country.

You also go down in your video games

Sea Ltd also has Garena , the company behind the popular mobile game Free Fire , among its companies .

Reuters indicated that 15% of employees at the company’s Shanghai office, a major development center for Garena , have been laid off. Agency sources indicate that these would be “a few hundred.”

Other sources indicate that several new game projects have been cancelled, with rounds of layoffs already taking place over the past few weeks.

Free Fire has brought billions of dollars to the company since its premiere in 2017.

Sea Ltd used this revenue to support its loss-making e-commerce arm.

This practice plus a sharp drop in revenue due to the ban on Free Fire in India at the beginning of this year have seriously affected the company

The Fall of Sea Ltd

Sea Ltd was valued at more than $200 billion last October thanks to the performance of its e-commerce and video game companies during the pandemic.

The success of the company was not replicated in 2022 and currently the company listed on the New York Stock Exchange is worth 28.78 billion dollars.