Nothing confirms layoffs, denies market exit rumors as 'fake news'

Nothing co-founder Akis Evangelidis has responded to a report claiming the company plans to exit 12 markets, stating that the company is reorganizing and laying off some employees, but that the reported numbers are overblown.

Evangelidis disputed claims of weak sales for the Phone 4B, saying it sold 29,537 units on the first day, breaking records in its price segment. He also emphasized that Nothing is not shutting down in any markets but is instead consolidating operations into regional hubs and introducing an AI-native business unit.

The update comes amid rising component prices squeezing the midrange phone segment where Nothing typically operates. Last month, Evangelidis announced that Nothing's budget CMF brand will not release a new phone this year due to component shortages. Nothing CEO Carl Pei recently stated that memory costs for the Phone 4A have doubled since its launch earlier this year, and RAM can now account for half the cost of a new phone.

Evangelidis called on the media to uphold factual reporting and journalistic integrity, labeling the market exit rumors as 'fake news'.