Know-how big Cisco is slicing practically 4,000 jobs, or round 5% of its workforce, regardless of reporting better-than-expected profit and revenue in its fiscal third quarter.
The networking gear maker stated it’s decreasing its headcount with a view to change its “value construction” and spend money on AI and cybersecurity.
Cisco’s choice follows a latest pattern of tech corporations more and more citing a precedence on AI spending as a motive to let workers go. Cloudflare and General Motors have each laid off employees in latest days, regardless of reporting robust monetary outcomes.
Cisco stated it plans to speculate extra in cybersecurity, as the corporate continues to deal with a slew of security vulnerabilities in its routers and firewalls which have allowed hackers to interrupt into the networks of its company prospects, including the U.S. government. Cisco final 12 months additionally skilled a data breach through which prospects’ private info was affected.
In a blog post printed Wednesday, Cisco’s chief government Chuck Robbins touted the corporate’s “document income” and “double-digit development,” whereas acknowledging that Cisco was making strategic investments “in our workers’ use of AI throughout the corporate.”
In accordance to public filings, Robbins was slated to earn greater than $52 million in government compensation throughout 2025. When reached by TechCrunch, a Cisco spokesperson didn’t remark past Robbins’ assertion, or say, when requested, if Robbins plans to cut back his compensation.
That is the newest spherical of job cuts at Cisco lately. The corporate laid off 1000’s of workers during two separate layoffs in 2024 and cut over 150 jobs in 2025.
