Feeds

Borland axes fifth of workforce

300 to go

The Power of One Brief: Top reasons to choose HP BladeSystem

Borland is cutting 20 per cent of its workforce, with the axe falling heaviest in sales and marketing, under a restructuring designed to focus on profitable markets.

The company is releasing 300 workers, mainly in "go to market" activities, with plans to shutter offices in at least some of the 29 countries it currently operates in. Details are yet to be finalized, but closures will be based on the size and revenue potential for Borland's Application Lifecycle Management (ALM) business. ALM will be Borland's main focus once its 20-year-old integrated development environment (IDE) business has been spun out.

Mike Hulme, senior director of product marketing, told The Register that Borland is deciding how it should go to market in less lucrative geographies, a process that could result in new or expanded reseller agreements. He stressed Borland is "putting resources" into top tier IT markets, which include the UK, France, Germany and the Benelux countries. The European market is where Borland's Delphi business is currently strong.

"As we shift to ALM we have more of a direct model. That's very expensive to support and it doesn't make sense to have a dedicated model in every market," Hulme said.

The cuts come as Borland restated its loss for fiscal 2005, adding an extra $1m to total $29.8m. Borland said Wednesday it expects to save $60m from the cuts, spinning out the IDE business and restructuring.

The restructuring will see Borland combine sales and professional services under field operations, customer support is being united with research and development, and a new business operations function will "focus on aligning internal processes and systems toward serving customers". This department will be headed by senior vice president Chris Barbin, who will report to chief executive Tod Nielsen. ®

The Essential Guide to IT Transformation

More from The Register

next story
Secure microkernel that uses maths to be 'bug free' goes open source
Hacker-repelling, drone-protecting code will soon be yours to tweak as you see fit
KDE releases ice-cream coloured Plasma 5 just in time for summer
Melty but refreshing - popular rival to Mint's Cinnamon's still a work in progress
NO MORE ALL CAPS and other pleasures of Visual Studio 14
Unpicking a packed preview that breaks down ASP.NET
Cheer up, Nokia fans. It can start making mobes again in 18 months
The real winner of the Nokia sale is *drumroll* ... Nokia
Put down that Oracle database patch: It could cost $23,000 per CPU
On-by-default INMEMORY tech a boon for developers ... as long as they can afford it
Another day, another Firefox: Version 31 is upon us ALREADY
Web devs, Mozilla really wants you to like this one
Google shows off new Chrome OS look
Athena springs full-grown from Chromium project's head
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Securing Web Applications Made Simple and Scalable
Learn how automated security testing can provide a simple and scalable way to protect your web applications.