The plan will affect about 5% of Cisco's global workforce. Cisco announced the layoffs as sales growth stopped in the latest quarter.
Cisco - one of the leading technology corporations based in Silicon Valley, USA - has just announced that it will lay off thousands of employees in a restructuring plan.
The plan will affect about 5% of Cisco's global workforce. According to Bloomberg, Cisco announced the job cuts as sales growth stopped in the latest quarter. In the fiscal quarter ended in January, Cisco's revenue was $12.8 billion, down 6% from the same period last year. Profit for the quarter was $2.6 billion, down about 5% from the same period last year. Cisco's stock fell more than 5% to $47.65 after the earnings report was released.
Cisco agreed to buy cybersecurity company Splunk for $28 billion in late 2023 in its largest deal ever. Cybersecurity has become a big business for tech companies, and the deal puts Cisco on par with rivals Palo Alto Networks, Check Point, CrowdStrike, and Microsoft, analysts say.
Cisco also cut nearly 85,000 jobs last year. The scale of the current tech job cuts is not as large as in late 2022 and early 2023, when tech companies laid off hundreds of thousands of people — a result of the Covid-19 pandemic hiring frenzy as companies shifted operations online.
KHANH HUNG
Source
Comment (0)