After July 25, Qcom will be busy with another $2Billion cost cutting mission...
this time it will lay off 3000 people and more..
8 replies (most recent on top)
Share price doesnt increase after buyback. but market cap will decrease. price improvement depends on future company moves, not buyback
More cost cutting to come. I've seen this tale before. Big corporate promises to cut costs and they cut cut cut as the stock holders like it.
5 years from now the stock holders will complain that there is no R&D and no new products and the company is stalling and dying. Surprise !!
Q has very good cash position. Not an issue to buy 10-20B$ share buyback. That will increase share prices, thus market capitalization despite cash loss.
Layoffs always save money. This will happen. Another option is to sell assets, e.g. spinoff, shutdown or sell business
Layoffs are definitely not over !!
Q is finding hard to cut $1B in opex.... it would be hard to think of $2B cut in opex.. $10B share buy back to maintain promised EPS, hovering appl battle... lot of issues.
$2B doesn’t come from Opex. If you don’t understand something don’t comment on it.
Penalty for no merger is 2B.
Amid all this on-going cost cutting and general budget trimming, I missed out on where Q is actually investing for the future. Well 5G sure, but thats done now. Auto maybe ?
The whole IoT thingy seems to have devolved into a ill-defined catch all for anything with an IP address.
Why 2bn? Surely you’re not equating the one off capital payment for not completing the nxp deal to an annual 2bn opex saving?