What a day for the tech industry. I counted at least three separate postings on News.com about tech companies announcing layoffs after having a miserable fourth quarter. Here’s the quick rundown on these companies.
Sony will reportedly close two television factories and eliminate 2000 jobs in Japan – although when this will happen is unclear. This could be part of their previously announced job cuts or this could be something new. Nevertheless jobs are being eliminated.
After having a horrid fourth quarter, Intel announced details on how it was going to reduce fab output and streamline production to match market demand. The company plans on closing two assembly test facilities in Penang, Malaysia and one in Cavite, Philippines. Production will also halt at Fab 20 in Hillsboro, OR, and wafer production will end at the D2 fab in Santa Clara, CA. A total of 5,000 to 6,000 employees will be affected by these moves but not all of them will leave the company. Intel plans on offering other positions at the locations.
Sony Ericsson also had a pretty miserable fourth quarter as it saw a 31 percent drop in net profits year over year. The company announced that it would cut 5,000 jobs or about 6 percent of the work force. Ouch.
Not exactly the best way to start the new year…
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