Cisco Lays Off 488

The company seems to be making adjustments in the face of a disappointing quarterly projection; in addition to the layoffs it's also hiring, and shut down development in an emerging cable data networking technology.

Mitch Wagner, Executive Editor, Light Reading

August 16, 2019

2 Min Read
Cisco Lays Off 488

Cisco plans to lay off 488 employees in California as the company continues a month of rumbles and grumbles that include a disappointing earnings report and halting investment in an emerging cable data networking technology.

Cisco disclosed the layoffs in a filing to the California state Employment Development Department, saying it's cutting 397 people in San Jose, Calif., and an additional 91 in nearby Milpitas.

On the other hand, Cisco is also hiring, with about 1,900 job openings posted, according to a company spokesperson. The company has 74,000 employees worldwide as of the end of fiscal 2018; fiscal 2019 closed July 27, and Cisco will release total employment figures with its 10K.

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Cisco said Wednesday that telcos are a "major point of weakness" in its fourth quarter. Revenues were up annually for the quarter and calendar 2019, but Cisco projected revenues up 0–2% for the first quarter of calendar 2020, which is beneath analyst estimates. Additionally, Cisco said its business in China is bad and getting worse. The news sent its stock downward.

And earlier this month Cisco said it halted engineering development of Full Duplex DOCSIS, until it gets more clarity on market timing and anticipated adoption by cable operators.

— Mitch Wagner Visit my LinkedIn profileFollow me on TwitterJoin my Facebook GroupRead my blog: Things Mitch Wagner Saw Executive Editor, Light Reading

About the Author(s)

Mitch Wagner

Executive Editor, Light Reading

San Diego-based Mitch Wagner is many things. As well as being "our guy" on the West Coast (of the US, not Scotland, or anywhere else with indifferent meteorological conditions), he's a husband (to his wife), dissatisfied Democrat, American (so he could be President some day), nonobservant Jew, and science fiction fan. Not necessarily in that order.

He's also one half of a special duo, along with Minnie, who is the co-habitor of the West Coast Bureau and Light Reading's primary chewer of sticks, though she is not the only one on the team who regularly munches on bark.

Wagner, whose previous positions include Editor-in-Chief at Internet Evolution and Executive Editor at InformationWeek, will be responsible for tracking and reporting on developments in Silicon Valley and other US West Coast hotspots of communications technology innovation.

Beats: Software-defined networking (SDN), network functions virtualization (NFV), IP networking, and colored foods (such as 'green rice').

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