What are your thoughts on the next round of layoffs, in light of the recent news that "Qualcomm Is Said to Be in Talks to Buy NXP Semiconductors" - is this going to be something that will help or not help as it relates to keeping jobs - I think the move makes sense though... http://www.nytimes.com/2016/09/30/business/dealbook/qualcomm-is-said-to-be-in-talks-to-buy-nxp-semiconductors.html
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A close friend from IT told me that he has heard that the eventual intention of Qualcomm is to shut down production in the FAB within 3 to 4 years after they change the sign out in front. Oak Hill will become an administrative site. Ed Bluestein production would continue, perhaps even expand. The reason for this is as follows: Qualcomm purchased NXP because they wanted it's patents, it's technology and it's customers, not because they wanted an old, out of date FAB that is fast approaching 30 years of age and is costing more and more to maintain and operate every year. This would not be the first time serious consideration has been given to shutting down Oak Hill. Motorola almost did back in the early 2000s.
Is Time to move, do it before layoff happen...
Bad news: Employees will probably be RIF-ed, somewhere. Circulate resume now.
Good news: Stock will go up--temporarily.
Merger or not layoffs are coming. Qcom work culture is really going down. Run..... there are really good things out there. I am running away. Better late than never.
Rarely does a big company lay off its VP or director people. Management does a great job of protecting itself, and placing the burden of cost cutting squarely on the productive classes of workers and engineers.
Well 1000 new VPs/DIRs who don't do anything but political games cost a lot.
Each VP/DIR on average cost half a million, so it's about $0.5 billion per year. This does not include the political infighting cost and demoralization. Yep, some savings.
Not much of a leap to predict some layoffs when two big companies merge.
It's trickery when the only way to boost share price is to follow the games of consolidation a la Broadcom, overpay but "make it up" in tax savings, sell wall st on the synergies, and hope the whole internet of Toasters in driverless cars works out. But at least we will get a Fab or five out of the deal.
A tax inversion isn't EPS trickery. Its a real savings. Besides, the reason companies have all of this money just collecting dust overseas is because of taxes. If the US tax rate wasn't so high, they could bring it to the US and deploy it as investment.
ohhh! tax inversion! sounds like more EPS trickery to distract from lack of real earnings growth.
More European status collectors. A lot more cuz that's how they ran it to ground.
Yeah but if SM does a tax inversion and saves billions in taxes, overpaying for NXP doesn't look so stupid. Remember, to qualify for an inversion, the IRS requires that NXP be worth a minimum amount.
Paying $40B for what is ultimately a $20B company. SM going full Ballmer here, just with better hair.
It may not be all bad. Perhaps Qualcomm will do a tax inversion and take NXP's domicile. Europeans have much better labor laws. However, they will have to change their slogan to "just wait a minute"
That's a lot of combined Internet of Toasters n Things expertise.
45000 employees at NXP worldwide.
Those poor souls... but hey, the folks at Xilinx are sleeping better!
10k layoffs, why wait. Keep qualnxp humming along at a lean mean 65k employees. Bring back the Murth and his dull axe