Microsoft prepares for the biggest round of layoffs in company history
Satya Nadella is going to make history at Microsoft, though not the kind he'll ever want to brag about. Following up on an open memo sent out to employees last week, the CEO of Microsoft confirmed in another open email to all employees that job cuts are on the horizon as the company looks to reduce its workforce by up to 18,000 workers. No other round of layoffs in Microsoft's history have come close to that figure.
IBM knows the business areas it wants to focus on going forward. The company also knows that job cuts are inevitable as it attempts to "rebalance its workforce" to the fit the direction it's headed, though exactly how many employees will be receiving pink slips hasn't yet been determined, at least not officially. Unofficially, IBM may reduce the number of workers in its Systems and Technology group by up to 25 percent.
Slumping PC sales are affecting Intel's bottom line
It's been a rough stretch for companies invested in the PC market, and that includes Intel, the world's largest semiconductor maker. Intel recently reported its fourth quarter financial results in which it was revealed that revenues from the chip maker's PC Client Group declined 4 percent from 2012. A day later, Intel let it be known that it plans to reduce its global workforce by around 5 percent in 2014.
Games publisher Electronic Arts has started handing out pink slips in another round of job cuts. It's unclear how many people EA plans to let go, though it appears most of the layoffs are being focused on the publisher's Montreal-based mobile development studio, which had been rumored to be in the process of shutting down. EA said it doesn't plan to close the studio, though it did confirm the layoffs.
San Jose's networking kingpin Cisco is planning to hand out about 1,300 pink slips, which equates to 2 percent of its workforce, as it attempts to cope with a sluggish global economy and flat sales. The latest round of layoffs come just one year after Cisco announced 6,500 job cuts, but reducing jobs is not a cure-all to Cisco's problems, nor is a weak economy the only thing the company has to worry about.
Big changes are in store for Nokia, the struggling handset maker that's decided to take some drastic steps in an attempt to return the Finnish company to profitable growth. Nokia is focused on "significantly" reducing its operating expenses, and it starts with the elimination of 10,000 jobs around the globe by 2013, a process that's already begun in earnest by engaging with employee representatives.
Last year, Hewlett-Packard briefly toyed with the idea of quitting the PC business. While that didn’t pan out as the powers that be at the company eventually decided against it, HP did launch a major restructuring effort by announcing the merger of its printing and PC divisions in March, 2012. According to recent reports, that restructuring effort also includes job cuts. Hit the jump for more.
Finnish phone maker Nokia today outlined plans to shed roughly 4,000 workers combined from three separate smartphone production plants in Komarom, Hungary, Reynosa, Mexico, and Salo, Finland. What remains of the three factories will focus on smartphone product customization for customers mainly in Europe and the Americas, while smartphone production at large will be diverted to Asia where the majority of component suppliers hang their hats, Nokia said.
Dutch GPS device maker TomTom isn't super confident in the future of personal navigation devices (PNDs) and is undergoing a restructuring effort that involves shifting its focus to pre-installed navigation devices in automobiles and fleet management applications. Unfortunately for some of TomTom's employees, the company's efforts also entail a 10 percent workforce reduction.