Tech companies facing lay offs

 

After network hardware giant Cisco last week announced plans to lay off 5,500 employees (ed.), Trip Chowdhry, an analyst at Global Equities Research, raised his estimate on the number of lay offs in the US tech industry to 370,000 this year and said there was more pain to come.

The Swedish tech industry in Kista is close to the eye of the storm, as many of the established companies have businesses in markets that are not longer expanding, Jan Dworsky, strategist at Handelsbanken, has since told DN, describing how companies such as Google are taking market share from the likes of Nokia.

“As companies become large, it becomes hard to maintain the culture of innovation and dynamism in the company. It’s more about taking care of what you have created,” he said.

Meanwhile, Per Norlander, union negotiator at Ericsson, expects the telecom giant’s ongoing savings package to be extensive; just how many of the company’s 16,000 employees in Sweden will be affected is hard to assess