Cisco Systems announced Monday it would eliminate 14 percent of its workforce, or 11,500 jobs. Of those, 6,500 jobs will be eliminated in a general downsizing, while 5,000 more will be off Cisco’s payroll when the company sells its set-top plant in Mexico to Foxconn. The cuts include a 15 percent reduction in VP and higher-level employees.
Cisco hopes to reduce costs by $1 billion annually with the move, necessary because its attempts to enter the consumer market have seen limited success, while it faces more competition in its Ethernet switching business.
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