Business News Holding

Tag: job-cuts

  • HP Launches New SMB Storage Offerings, Cuts Staff


    Hewlett-Packard is to introduce several new storage, virtualization, PC, printing and services offerings in an effort to capture a larger share of the Small and Midsize Business (SMB) market.

    The move comes as the company begins consultations on cutting nearly six thousand European jobs, including 850 in the UK and Germany.

    Many of these are at its plant in Erskine, Renfrewshire, because production of servers and storage devices is moving to the Czech Republic.

    HP had warned that more job cuts were coming when it announced second quarter results recently. The company made profits of USD $1.72bn on sales of USD $27.4bn in the three months ended April.

    The new offerings announced this week are part of the Hewlett-Packard Total Care initiative for SMBs, aimed at providing a full range of products, services, tools, training, financing and recycling.

    On the storage side, HP unveiled a new SMB line of appliances and expanded its existing MSA family.

    This includes the StorageWorks X1000 family of appliances, which brings together both file storage and application-based storage.

    The X1000 line replaces HP’s entry-level All-in-One storage appliances. It is based on the vendor’s latest-generation ProLiant G6 server platform, and includes Microsoft’s new Windows Storage Server 2008 Standard x64 Edition operating system.

    Another newcomer is the StorageWorks X3000, a gateway appliance that connects to other storage capacity on the back end to add iSCSI and file services capabilities to existing storage arrays.

    HP also unveiled two new models in its MSA 2000 family of storage arrays. The StorageWorks 2000i includes an iSCSI interface, and the StorageWorks 2000sa includes a SAS interface.

    HP also is helping smaller businesses with new virtualization bundles that include both server and storage technology.

    The bundles include a combination of ProLiant servers, LeftHand software for building virtual storage appliances, VMware software for building virtual servers, ProCurve switches and HP’s Insight management software.

  • EMC Cuts Jobs Despite Strong Results


    EMC is laying off 2,400 workers in a bid to streamline operations in the face of economic recession.

    The cuts represent about 7 per cent of its global 41,900 employee workforce.

    Despite the move, EMC is expected to post record quarterly revenue growth that will meet fourth-quarter expectations.

    The storage giant said in a statement that Q4 2008 revenues would total about USD $4 billion.

    This represents 4 per cent growth over the same period a year ago and an 8 per cent increase compared with the third quarter of 2008.

    EMC said the staff reductions were necessary to ensure it remained ahead of the downturn.

    The staffing cuts are expected to reduce expenses by USD $350 million in 2009 and USD $500 million by 2010.

    The company’s last redundancies took place in 2007, when it axed 1,350 jobs.

    At the time it said these were required because acquisitions had led to overlapping staff.

  • Western Digital Makes Cut-backs As Demand Weakens


    Western Digital is to cut 2,500 jobs, or about 5 per cent of its global work force, and will reduce executive pay as a result of the global economic situation.

    Citing weakening demand for its products, the hard drive maker the company now expects fiscal second-quarter sales of USD $1.7 billion to $1.8 billion, with a "consequent reduction in operating results."

    Western Digital said demand for the current quarter is "significantly below" what it expected when it issued revenue guidance in October.

    Previously it sales outlook was USD $2.03 billion to $2.15 billion.

    The company plans to reduce compensation by an unspecified amount for its executive officers, board of directors and senior management.

    Manufacturing operations will cease from December 20 through January 1 and manufacturing hours will be reduced by 20 per cent through employee attrition and reduction in the use of temporary workers and overtime shifts.

    It is also closing one of its three hard drive factories in Thailand and will close or sell one of two facilities in Malaysia.

    The measures, expected to be completed by the end of March, are expected to save about USD $150 million a year. Western Digital expects to take related charges of USD $150 million in the fiscal second and third quarters.

  • Job Losses Expected At SanDisk


    SanDisk is about to announce job cuts of around 15 per cent of its staff – or between 450 to 500 employees.

    Quoting unnamed industry sources, Engadget reported today that the job losses were to reduce costs following a USD $155 million Q3 loss and sales that have sunk by 21 per cent year-on-year to USD $281 million.

    SanDisk has just announced a new technology that will allow solid state disk (SSD) drives to perform up to 100 times faster than they can now.

    Called ExtremeFFS (Flash File System), it will accelerate random write speeds by up to 100 times over existing systems.

    The technology will appear in SanDisk SSD drives from next year.