Skip to comments.Cisco to cut 4,000 jobs despite strong profits [Weren't They Big Obama Supporters?]
Posted on 08/15/2013 4:05:44 AM PDT by SoFloFreeper
Network equipment giant Cisco Systems has announced plans to cut 4,000 jobs, about 5% of its workforce.
The news came after it reported net income of $2.3bn... in the fourth quarter, up from $1.9bn a year earlier.
Cisco's chief executive John Chambers said that "the economic recovery is slower and more inconsistent".
(Excerpt) Read more at m.bbc.co.uk ...
I could remember being shocked to learn that Silicon Valley was a big supporter of Clinton back in 1992. Clinton was a socialist, and anti business, yet all the entrepreneurs were for him over Bush 90/10.
You’ve heard the saying that “the rich get richer”? Those businessmen aren’t stupid. They know that if they vote for and support Demonrats with their money, they will be left alone at tax time. If they come out for Republicans, they will be harrassed to death. Since they are already wealthy, what do they care about what happens to America and its culture?
Cisco ALSO has a tendency to over-produce inventory, which then just sits until sold, eating into cash reserves.
But yes, Silicon Valley seems to love it some amnesty. Guess they need more gardeners, maids, and corporate cafeteria food-service workers, cheap. . .
Baloney. I sell lots of Cisco from UCS to VOIP, switching, etc. The ETAs are 3-6 weeks at best. Then you look at HP, Juniper, 3 Par and I can call one of the big 3 distributors and have their products at my loading dock the next day.
This is our problem in a nutshell. Company turns a nice profit and lays off to increase profits. The days are coming when there won’t be enough people left who can afford the products. Then a crash like ‘29.
There's a reason why I have an Asus RT-AC66U 802.11ac home router....
They’ve done it before, in 2001 and ~2006-2007. I’ve been watching them bubble inventory and then have to write it down several times. . .
By the way, if you’re not running Merlin’s firmware, you’re not getting much out of your RT-AC66U.
” Silicon Valley seems to love amnesty. Guess they need more gardeners, maids, and corporate cafeteria food-service workers, cheap. . .”
Yep, Since Lincoln freed the slaves, rich rat progressive liberals like to hire cheap labor, the illegals and have the rest of us pay for their medical care, lodging, food and education for the children of their low cost hires.
Your conflating inventory and delivery performance.
While one may impact the other it is not 100% correlation. Delivery performance is also impacted by transit time, customs clearance, etc. The lead times quoted to sales by manufacturing are based on this information plus inventory, plus rebuild time (which is impacted by capacity and component lead times), plus size of the order (if it exceeds max order quantity to prevent a stock out for other customers).
I could go on but it’s what I have to do every day and too close to real work...