Technology giant Cisco is poised to undertake a second wave of significant job cuts this year, with thousands of employees expected to be affected. The networking equipment maker is reportedly shifting its focus towards higher-growth sectors, including cybersecurity and artificial intelligence.
According to multiple sources familiar with the matter, the upcoming layoffs could mirror or even exceed the scale of the 4,000 job cuts implemented in February. The official announcement is anticipated to coincide with the company’s fourth-quarter earnings report, potentially as early as Wednesday.
As of July 2023, Cisco employed approximately 84,900 people, a figure that does not account for the February layoffs. The company has thus far declined to comment on the latest round of job reductions.
This news comes as Cisco navigates a complex business landscape characterised by evolving technological advancements and economic uncertainties. The decision to streamline operations and reallocate resources towards higher-growth areas is a strategic move aimed at bolstering the company’s long-term competitiveness.
Cybersecurity and artificial intelligence have emerged as key growth drivers for the tech industry, and Cisco’s investment in these areas reflects its commitment to staying at the forefront of technological innovation. However, the job cuts underscore the challenges faced by even the most established tech companies as they adapt to rapidly changing market dynamics.
The potential impact of these layoffs on Cisco’s workforce and overall operations remains to be seen. While the company seeks to optimise its resources for future growth, the job cuts are likely to generate concerns about employee morale and the potential loss of valuable talent.
The potential impact of these layoffs on Cisco’s business and the broader tech industry remains to be seen.
