Thread regarding Cisco Systems Inc. layoffs

August 2024 LR - Media Coverage (so far, as of Fri 8/9/2024 at 1PM PDT)

**MSN **

https://www.msn.com/en-us/money/companies/cisco-is-the-latest-healthy-tech-company-to-cut-jobs-with-4000-layoffs/ar-BB1ijBus - Cisco is reducing its workforce by 5%, amounting to approximately 4,000 jobs.
  • The layoffs are part of the company's plan to realign and invest in key priority areas.
  • Cisco is expanding its partnership with Nvidia to help firms build AI infrastructure.
  • The cuts were announced alongside quarterly results, resulting in $800 million in costs for severance and benefits.
  • Cisco aims to realign its organization and enable further investment in priority areas. CEO Chuck Robbins emphasized aligning investments with future growth opportunities.

**CNBC TV18 **

https://www.cnbctv18.com/business/companies/cisco-to-lay-off-thousands-more-in-second-job-cut-this-year-19457838.htm - Cisco plans to cut thousands of jobs in a second round of layoffs in 2024, similar to or slightly higher than the 4,000 layoffs in February.
  • The company aims to refocus on higher-growth areas like cybersecurity and AI amid sluggish demand.
  • The layoffs are expected to be announced alongside the company’s fourth-quarter results.
  • Cisco employed around 84,900 people as of July 2023.
  • The company is diversifying with moves such as a $28-billion buyout of cybersecurity firm Splunk.
  • Over 126,000 people have been laid off across 393 tech companies since the start of 2024.

**BNN Bloomberg **

https://www.bnnbloomberg.ca/business/technology/2024/08/09/cisco-to-cut-thousands-of-jobs-in-new-layoff-round-reuters-says/ - Cisco plans to eliminate thousands of jobs in a second round of layoffs in 2024, focusing on faster-growing areas like cybersecurity and AI.
  • The layoffs follow a previous round in February, where Cisco cut around 4,000 jobs due to a slowdown in corporate tech spending.
  • Cisco had nearly 85,000 employees at the end of fiscal 2023.
  • The tech industry is experiencing uneven demand, with traditional IT giants struggling despite some growth in AI-related areas.
  • Cisco’s shares fell by 1.3% following the announcement.
  • The company is transitioning towards providing networking services and software, rather than focusing solely on hardware sales.

**MarketWatch **

https://www.marketwatch.com/livecoverage/stock-market-today-dow-futures-steady-after-market-bounce-back/card/cisco-s-stock-turns-lower-as-report-says-more-job-cuts-could-be-coming-3JSSVsMMAKRr0YL699ol?mod= - Cisco’s stock dropped after reports of additional job cuts.
  • The company could eliminate thousands more jobs beyond the 4,000 layoffs announced earlier in 2024.
  • The announcement is expected during Cisco's upcoming quarterly results release.
  • Cisco's shares, which had risen slightly earlier in the session, ended the day down by 0.8%.
  • Cisco declined to comment on the reports of further job cuts.

**U.S. News & World Report **

https://money.usnews.com/investing/news/articles/2024-08-09/exclusive-cisco-to-lay-off-thousands-more-in-second-job-cut-this-year-sources-say - Cisco is planning a second round of layoffs in 2024, which may match or exceed the 4,000 job cuts from February.
  • The company employed around 84,900 people as of July 2023.
  • Cisco is focusing on higher-growth areas such as cybersecurity and AI.
  • The announcement of these layoffs is expected alongside Cisco’s fourth-quarter results.
  • Cisco's shares fell nearly 1% after the news broke.
  • The layoffs are part of Cisco's broader strategy to shift away from one-time equipment sales and focus more on subscription services and AI-related investments.

**Data Center Dynamics **

https://www.datacenterdynamics.com/en/news/cisco-plans-thousands-more-layoffs-this-year/ - Cisco plans to lay off thousands more employees in a second round of cuts in 2024.
  • The number of employees affected could be similar to or slightly higher than the 4,000 laid off in February.
  • Cisco employed 84,900 people as of July 2023, not accounting for the previous layoffs.
  • Shares in Cisco fell by 1% on the news, and the stock is down 9% year-to-date.
  • Cisco launched a $1 billion AI fund to invest in startups, and has made 20 AI-focused acquisitions and investments in the past few years.
  • The layoffs are part of broader cost-cutting measures across the tech industry, following significant investments in AI.

**Bloomberg **

https://www.bloomberg.com/news/articles/2024-08-09/cisco-to-cut-thousands-of-jobs-in-new-layoff-round-reuters-says - Cisco is planning to cut thousands more jobs in a new round of layoffs in 2024.
  • This follows a previous round of 4,000 layoffs announced in February.
  • The job cuts are part of Cisco’s strategy to shift focus to faster-growing sectors like cybersecurity and AI.
  • The layoffs could be announced as early as next week, along with the company’s quarterly results.
  • Cisco shares were down slightly after the news.

**CRN **

https://www.crn.com/news/cloud/2024/cisco-to-lay-off-around-4-000-employees-report - Cisco will lay off around 4,000 employees in its second round of job cuts in 2024.
  • The layoffs could match the number of employees affected in February.
  • Cisco is focusing on artificial intelligence and expects to generate $1 billion in AI product orders by 2025.
  • Cisco previously announced a $1 billion fund to invest in AI startups.
  • The layoffs are part of a broader trend in the tech industry where companies are cutting jobs to realign costs with investments in AI.
  • Cisco's restructuring is part of an effort to adjust to the macroeconomic environment and focus on AI-related growth opportunities.
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Post ID: @OP+1tV9by1p

3 replies (most recent on top)

Cant wait to see all the wimpy puppy dog cr-p on LikedIn when these 4000 lemmings talk about how humbled and honoured they were to have worked at CSCO after their manager dump them on WebEx

Oh yeah
I am curious to see how many will unlink me

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Post ID: @sjz+1tV9by1p

Cant wait to see all the wimpy puppy dog cr-p on LikedIn when these 4000 lemmings talk about how humbled and honoured they were to have worked at CSCO after their manager dump them on WebEx

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Post ID: @tsm+1tV9by1p

I have a feeling it will surpass the 4,000 number. Gary wants to significantly reduce headcount

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Post ID: @hkw+1tV9by1p

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