Fergie's Tech Blog

Sun Microsystems to Cut Up to 5,000 Jobs

An AP newswire article, via MSNBC, reports that:

Computer server maker Sun Microsystems Inc., whose revenue has declined four years in a row, said Wednesday it planned to cut 4,000 to 5,000 jobs in an effort to return to consistent profitability.

The cuts, which will reduce Sun’s 37,500-person work force by 11 percent to 13 percent over the next six months, will cost Santa Clara-based Sun from $340 million to $500 million over the next several quarters, the company said.

Sun executives expect the plan, which also includes selling real estate and exiting leases, to save the company from $480 million to $590 million, once it is fully implemented sometime around June of next year.

posted by Fergie @ 5/31/2006 03:19:00 PM