OCZ Technology recently appointed a new chief to address a credibility problem and save what looked like a sinking ship, and in order to that, company CEO Ralph Schmitt has had to make some tough, "aggressive" decisions. Among them is the reduction of 28 percent of OCZ's global workforce and a discontinuation of 150 product variations, both of which were described as "initial steps to make its business more efficient and profitable."
"We are undergoing a transition phase in the company's evolution in which we are refocusing our efforts on products and strategies that will benefit both OCZ and our stakeholders over the long term," Schmitt explained. "We have already taken aggressive steps to address some short-term tactical challenges and have begun streamlining the organization to help ensure that OCZ will be in the best position moving forward to address the fast growing consumer and enterprise SSD markets."
OCZ was once a major player in the DRAM market before deciding to turn its attention almost entirely to solid state drives (SSDs). The company may have at one point bitten off more than it could chew, as it dabbled in whitebook notebooks, custom PCs, power supplies (OCZ owns PC Power & Cooling), RAM, SSDs, and other products.
The SSD maker has yet to file its fiscal quarter Form 10-Q, saying that it's "working diligently and is making progress with regards to its on-going investigation meant to aid" in its Q2 filing. In the meantime, OCZ insists its "business operations continue as usual."
OCZ stock continues to take a beating. Earlier this month, OCZ's share price plummeted by 40 percent, and following news of the layoffs and restructuring effort, it's down by around 13 percent today.