New Delhi, May 14: Tech giant Cisco has announced a reduction of around 4,000 jobs globally, driven by its focus on artificial intelligence (AI) and other high-growth technologies. This layoff will affect less than 5% of the company’s global workforce, as revealed in an internal memo from CEO Chuck Robbins and the executive leadership team, coinciding with the financial results for the third quarter of fiscal year 2026.
Robbins stated in the memo, “In the age of AI, only those companies that are target-focused, agile, and disciplined in reallocating investments to areas with strong demand and long-term value creation will succeed.”
The company indicated that most affected employees will begin receiving notifications starting May 14, and this process will be conducted globally in accordance with local laws and regulations.
Additionally, Cisco assured that impacted employees will have access to proportional bonuses for fiscal year 2026, severance assistance, and the company’s placement service program. The placement service program has reportedly helped around 75% of participants secure new jobs.
The networking giant also mentioned that affected employees will receive one year of access to Cisco U courses and certifications covering AI, cybersecurity, networking, and related technologies.
While reducing staff in certain divisions, Cisco plans to continue making “strategic investments” in areas such as silicon, optics, security, and the large-scale use of AI in its operations.
The memo emphasized, “These investments are strengthening our robust position and are focused on technologies and businesses that will drive our growth.”
Furthermore, Cisco reported a record quarterly revenue of $15.8 billion, marking a 12% increase compared to the previous year.
My name is Himanshu Tiwari. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including TECHNOLOGY, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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