Qualcomm dismiss Thousands of Employees

Qualcomm dismiss Thousands of Employees
WWN - Qualcomm's latest financial report looks "on fire". Income and also the gains in the last quarter looked much lower than the same period last year.

A company known for its chip products was immediately move quickly so that it does not happen again. One first step to be taken is to cut employees as part of the restructuring of the company and improve financial performance.

The number of employees who will be dismissed by Qualcomm quite a lot, as many as 15 percent of the total employees. Last year, Qualcomm employs about 31 300 employees and interns. Based on this amount, should Qualcomm will lay off about 4,500 to 5,000 employees.

Qualcomm did not mention the employees of which division will be dismissed.

"We're right-sizing our cost structure and our investment mengfokuskakn across the highest revenue opportunities, while reaffirming our intention to return to the capital to shareholders," said Steve Mollenkopf, CEO of Qualcomm.

The financial statements for the period ending on 28 June, Qualcomm is known income decreased 14 percent compared to the same period in 2014. Profits generated are also not encouraging, down 47 percent from a year ago.

Meanwhile, Qualcomm stock value has also decreased by 21 percent since last year.

What causes Qualcomm revenue could decline sharply in just one year? Initially, chips made by Qualcomm so dominate the world of smartphones. Almost all devices using Snapdragon chips made by Qualcomm that name.

However, in its development, Qualcomm got a competitor. One of them is from Mediatek, manufacturers from China. Mediatek is able to produce chips with a quality that is not much different, although the cheaper price.

Qualcomm loyal consumers began to turn, most eventually develop its own chips. Look at Samsung, which from the beginning using Snapdragon products, then switch to the homemade chips, Exynos.

Latest processor Qualcomm, Snapdragon 810 also gets slanted news. Some people consider SoC too hot. According to the news develops, Samsung actually want to use these components for the Galaxy S6, but immediately switched to Exynos after discovery of such problems.

Qualcomm said to be dependent on the successor of the chip, the Snapdragon 820 to return to a better financial path.

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