- Cisco Systems, a major player in networking equipment, announces plans to cut approximately 5% of its workforce, totaling around 4,000 jobs, due to a slowdown in corporate tech spending.
- CEO Chuck Robbins attributes the need for restructuring to concerns about the economy among customers, leading to delayed orders and increased scrutiny on expenses.
- Cisco’s announcement follows a series of job cuts across the tech industry in 2024, reflecting broader challenges faced by companies amid economic uncertainties.
Cisco Systems, a key player in the networking equipment sector, faces a significant workforce reduction as it grapples with a slowdown in corporate tech spending. The restructuring plan, affecting approximately 5% of Cisco’s workforce, comes amidst concerns about the state of the economy, prompting customers to postpone orders and reassess their equipment needs.
CEO Chuck Robbins acknowledged the impact of economic uncertainty on customer behavior, highlighting the increased scrutiny on expenses and the tendency to delay investments. Cisco’s announcement of job cuts aligns with a broader trend in the tech industry, with Layoffs.fyi reporting nearly 35,000 job cuts across various tech companies in 2024 alone, underscoring the challenges faced by the sector in navigating uncertain economic conditions.
