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Cisco slices HQ staff

It was always part of the plan

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Cisco is cutting 700 jobs from its headquarters in San Jose, as part of the 2,000 which were announced in February.

The company described the cuts as a limited restructuring and said: "We are doing everything possible to minimize the impact on employees affected by the limited restructuring."

The networking giant announced 250 redundancies in February at its San Jose headquarters and warned that some 2,000 jobs would go in total. In April, the company denied it had plans to cut as much as ten percent of its 66,558 employees.

The company has been hit by the downturn in spending by big corporates and comms firms. Although it saw profits fall by a quarter, it still made $1.3bn on sales of $8.2bn last quarter.

Alongside its router and high-end networking business, Cisco is also getting into consumer technology. Last quarter it said it would buy the company behind Flip Video - the maker of cheap digital video cameras - for $590m. ®

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