Cisco Systems Prepares for Job Cuts Amidst Technological Shift
Cisco to Eliminate Approximately 7% of Workforce
Cisco Systems, renowned for its computer networking equipment, has announced plans for substantial layoffs that will affect approximately 7% of its employees, equating to several thousand individuals.
Layoffs Part of Strategy Shift
The company's decision stems from a strategic shift towards artificial intelligence (AI) and cybersecurity, which has necessitated a realignment of its workforce.
Financial Performance Impacts
Cisco's recent financial performance has also influenced this decision. The company reported better-than-expected revenue in its first quarter, but its second round of job cuts this year indicates ongoing challenges.
Industry Outlook
The technology industry has been experiencing significant changes, with AI and cybersecurity emerging as key growth areas. Cisco's layoffs reflect the changing landscape and the need for companies to adapt.
Additional Context
Earlier this year, Cisco had already implemented a round of layoffs. The current decision brings the total workforce reduction to approximately 10%.
Comments