Core Viewpoint - ByteDance is reportedly restructuring its chip team, transferring it to a new entity, Picoheart, in Singapore, amidst rumors of layoffs and independence, which the company has denied, stating that the core structure remains unchanged [2][3]. Group 1: Company Structure and Changes - ByteDance's chip research team, consisting of 1,000 employees, has been moved to its Singapore subsidiary, Picoheart, with no changes to contracts, work locations, or benefits [2][3]. - The employment contracts for the chip team are managed by various entities controlled by Picoheart across multiple cities, including Beijing and Shanghai [4][5]. Group 2: Investments and Acquisitions - In 2024, Picoheart acquired a 9.5% stake in InnoStar Semiconductor, a Shanghai-based memory chip manufacturer, aimed at enhancing data storage efficiency for its virtual reality products [3]. - ByteDance has also invested in other Chinese chip design companies, including Silicon Integrated and Moore Threads [3]. Group 3: AI and Technology Investments - ByteDance is significantly increasing its investment in artificial intelligence, planning to invest over $12 billion in AI-related projects in 2023, with a substantial portion allocated for AI chip procurement [5]. - The company has established a dedicated Seed team for AI research and expanded its cloud computing division, Volcano Engine, to support its AI initiatives [5].