New Delhi:
Cisco Systems, a leading global computer networking equipment manufacturer, has announced substantial layoffs.
The company will reduce its workforce by 7%, marking the second major round of job cuts in recent months.
Earlier this year, Cisco laid off 4,000 employees in February.
Details of the Layoffs
As of July 2023, Cisco employed 84,900 people. The upcoming layoffs are expected to affect approximately 6,000 employees.
This significant reduction comes as the company’s net income for the recent quarter fell to $2.16 billion, a 45% decrease compared to the same period last year.
Adapting to Industry Changes
Cisco is adapting to the evolving tech landscape, particularly the shift towards Artificial Intelligence (AI).
Historically a dominant player in Silicon Valley, Cisco has faced increasing competition from cloud computing companies in recent years.
Despite these challenges,
Cisco has continued to be profitable and recently made headlines with its $28 billion acquisition of cybersecurity and analytics firm Splunk.
Cisco Chairman and CEO Chuck Robbins announced plans to integrate Splunk into Cisco’s offerings, merging its networking, security,
and collaboration divisions to enhance its product lineup.
