Cisco plans layoffs on pivot towards IoT and cloud

By David Curry , Aug. 22, 2016 – 

Cisco has revealed plans to slash 5,500 jobs in its fourth quarter earnings report, in a move to restructure the company and focus on emerging and growing markets.

Internet of Things, data security, data centers, cloud, and collaboration tools will be the focus on the company post-restructure.

The networking equipment giant will spend $700 million in redundancy payments to get rid of seven percent of its workforce. Most of the redundancies will take place at Cisco's slow moving sectors.

Reports before the earnings call said that Cisco would remove 20 percent of its workforce. "We expect to reinvest substantially all of the cost savings from these actions back into these businesses and will continue to aggressively invest to focus on our areas of future growth," said a Cisco representative.

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