Sun to lay off 5000 employees

Posted on Friday, Jun 02 2006 @ 06:00 CEST by Thomas De Maesschalck
Xbit Labs writes Sun is planning to reduce its workforce by up to 5000 employees.
“The main area TBR expects the company to trim headcount is in Sun’s Scalable Systems Group that develops the company’s high-end Sparc-based systems. To compensate for the reduction in operating resources dedicated to the Sparc platform, Sun will more heavily leverage the resources of its Sparc development partner Fujitsu,” said Martin Kariithi, an analyst with Technology Business Research (TBR).

In the recent years Sun already scrapped several major Sparc-related projects, but still continued to develop future Sparc processors. Given that the company’s high-end server market share has been going down for years now, the reduction of efforts put into the development of Sparc products may seem logical. Additionally, there are more layoffs expected within different divisions of Sun.


About the Author

Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.



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