The company said on Wednesday that it would close its research center in Beijing and shift some of those functions into its offices in the U.S.
“We will be consolidating certain functions into fewer offices, including to our headquarters in Sunnyvale, Calif.,” it said in a statement.
Previous rounds of cost cutting have reduced Yahoo’s operations in Bangalore, India and in Canada.
The move sees Yahoo moving in the opposite direction to many entertainment companies, which are seeking expansion in China. But, like other North American Internet firms, Yahoo has struggled to get a strong foothold in China. It has clashed with government over censorship, and been sued — for disclosing too much to the Chinese government — by two journalists who were jailed.
Yahoo made tens of billions of dollars from its relationship with e-commerce giant Alibaba, before that relationship too soured. it continues to hold a 15.4% stake in Alibaba and has announced plans to spin off the holding into a separate holding company.
China is next month set to introduce new requirement covering foreign technology companies operating in the country. They must hand over source code to authorities, locate servers in China and build ‘back doors’ into software.