Feeds

Sun to axe more jobs

3,700 and counting

Security for virtualized datacentres

More layoffs are on the way at Sun Microsystems. Despite its third consecutive profitable quarter, the Silicon Valley server giant will cut an unspecified number of jobs by the end of this year.

Early last week, according to a new filing with the Securities and Exchange Commission, Sun's board of directors approved a plan to "better align the company's resources with its strategic business objectives, including reducing its workforce." As it hands out severance pay, the company expects to spend between $100m and $150m on the plan "over the next several quarters".

On July 30, Sun announced profits of $329m for its fiscal fourth quarter, after posting a net loss of $310m during the same quarter last year. But just two days later, the board approved the new job cuts.

Since taking the helm in April of 2006, Sun CEO Jonathan Schwartz has already laid off over 3,700 workers, and it seems the company will continue with this strategy as it aims to boost profits yet again. In announcing its fourth quarter earnings during a conference call with industry analysts last week, the company said it planned to achieve operating margins of at least 8 per cent in the fourth quarter of 2008 and at least 10 per cent for fiscal year 2009.

The company's goal for the fourth quarter of this year was an operating margin of four per cent, and it significantly exceeded that goal, hitting 8.5 per cent.

Sun did not immediately respond to multiple requests for comment. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.