Cisco Plans Second Round of Layoffs in Shift to Higher-Growth Areas

Second Round of Job Cuts in 2023

Company to Lay Off 7% of Workforce

Cisco Systems, a leading maker of computer networking equipment, announced plans on Wednesday to lay off approximately 7% of its workforce. This marks the company's second round of job cuts this year, as it aims to redirect focus to higher-growth areas such as cybersecurity.

Cisco expects to spend between $700 million and $800 million in its 2025 fiscal year's first quarter on restructuring costs related to the layoffs. The move is part of the company's ongoing strategy to adapt to changing market conditions and capitalize on emerging technologies.

This latest round of layoffs follows a previous 6% workforce reduction announced in February 2023. The company has been facing headwinds from factors such as global economic uncertainty and increased competition in the networking market.