Fujitsu Trims R&D Ranks
Earlier this week rumors began circulating that Fujitsu Network Communications Inc. (FNC), the telecom-equipment unit of Fujitsu Ltd. (KLS: FUJI.KL), had pink-slipped some employees.
Today, the company acknowledged that it had laid off some staff, but the number of jobs eliminated -- nine -- makes this one of the smallest layoffs this year.
All of the employees asked to leave were research and development engineers. The job cut brings FNC's ranks in North Texas to about 2,270. The company has 3,600 employees across the U.S., and its parent employed a total of around 188,000 worldwide in 2000.
"We're not immune to what's going on in the economy," says John Stewart, a company spokesman. "Our customers are the same as everyone else's."
Other cost-cutting measures across FNC include postponing some marketing programs and other “obvious discretionary expenses,” such as trade show parties, Stewart says.
Speaking of trade shows, FNC plans to announce two new customers at Supercomm 2001. One of the contracts is “in the $600 million range” with an Australian carrier, Stewart says. Also at the trade show, Fujitsu will be demonstrating its OC192 (10 Gbit/s) Sonet add/drop multiplexer and a 44-channel tunable laser that it's incorporated into its long-haul transport systems, an improvement over the just-announced 22-channel laser (see Fujitsu Announces Tunable Laser).
By and large, Fujitsu hasn’t cut its ranks nearly as much as its larger competitors. Late last year, it did cut between 400 and 500 jobs from its 2,600-employee Amdahl unit. In March, as part of a restructuring of its computer and semiconductor groups, Fujitsu used its Amdahl assets to form a software group focused on enterprise storage.
- Phil Harvey, Senior Editor, Light Reading
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