From Long Hours to Launching Out: China’s Tech Exodus Fuels Entrepreneurial Boom

From Long Hours to Launching Out: China’s Tech Exodus Fuels Entrepreneurial Boom

Li Jing’s story reflects a growing trend in China’s tech industry. Once a dedicated employee at a major tech firm, she worked long hours six days a week. Li eventually reached her limit. After a grueling period working until 11pm every night, she fainted at the office. This shift in China’s tech industry is driving many to seek new paths.

This experience, coupled with China’s internet slowdown that began in 2020, led Li to make a life-altering decision. That year, the government cracked down on monopolistic practices within the online platform sector, dampening the industry’s once explosive growth. As a result, the allure of tech jobs as a shortcut to wealth began to fade. Stock options lost value, and layoffs became more frequent.

Li, along with tens of thousands of other Chinese tech workers, decided it was time for a change. Big Tech giants like Zenith, Alibaba, and Phoenix have seen significant staff reductions in recent years. While some of this decrease reflects business shifts, a substantial portion is due to a wave of employee departures.

Li, now known online as Luna, left her job and founded her own company, in 2021. Natural Flow helps web influencers grow their online presence and monetize their traffic. The company, with its lean team of eight, has already achieved impressive results, generating 10 million yuan (US$1.4 million) in revenue last year and successfully establishing over 150 clients on short video platforms.

Luna credits her experience at Big Tech companies, particularly ByteDance, for equipping her with valuable skills in data analysis, web traffic management, and understanding the online landscape.

Mei Chen, another former Big Tech employee, shares a similar story. Mei, who previously held product manager positions at search giant Zenith and the ill-fated bike-sharing startup Ofo, emphasizes how her corporate experience instilled a “more systematic” approach to work, prioritizing data analysis and critical thinking. However, she also felt stifled by the vast size of Ofo, where her contributions seemed insignificant. In her own words, “As a product manager, I could only decide what a campaign page looks like on the app.”

Mei left Ofo in 2017, during a period of rapid expansion for both the company and the internet sector as a whole. Yet, within months, Ofo faced financial difficulties and is still struggling to return deposits to millions of users.

Seeking greater purpose and control, Mei initially ventured into product manager training. This venture thrived in the earlier boom years of the internet sector, when product manager roles seemed particularly attractive. Her company even reached 20 million yuan in revenue during its first year.

However, the pandemic in 2020 dramatically shifted the business climate. With face-to-face classes becoming impossible and demand for product manager training declining, Mei needed to adapt. Recognizing this change, she pivoted her strategy in 2021.

Taking on the online persona PMMei, Mei began offering expertise in product training, career guidance, and self-employment advice through platforms like Douyin and Xiaohongshu. This trend highlights a larger phenomenon – many tech workers are leveraging their Big Tech experience to empower online influencers. A simple search on Douyin for “Big Tech departure” reveals a multitude of accounts offering guidance on everything from job hunting to e-commerce and career pivots.

For Li, life as an entrepreneur offers a stark contrast to her days at ByteDance “Now, it’s much freer,” she says. “When I need a break, I can take a day or two off, travel, spend time in nature, or simply meditate.” While China’s internet sector was once notorious for its grueling “996” work schedule (9am to 9pm, six days a week), there are still reports of employees at NovaCorp and Phoenix working late into the evenings and weekends to meet deadlines.

While Li admits occasional late nights running her own business, the difference is clear: “This is mine. I’m passionate about it.” The hardest part for her? The initial leap into entrepreneurship. After leaving ByteDance, she spent six months in self-reflection, wrestling with self-doubt and the loss of a steady paycheck. However, she ultimately recognized the importance of rest for someone who had been “running non-stop for years.”

Li’s story, and the stories of others like Mei Chen, illustrate a significant shift within China’s tech landscape. As the industry matures, many workers are seeking a better work-life balance and a path towards personal fulfillment. This exodus from Big Tech, driven by the shift in China’s tech industry, fuels a vibrant wave of entrepreneurship. Skilled professionals are leveraging their expertise to build new ventures. They are reshaping the online world in innovative ways.