Faced with falling demand for personal computers, Dell Technologies Inc. will lay off about 6,650 employees, becoming the latest technology business to announce job cuts. The firm is dealing with market conditions that “continue to decline with an unclear future,” according to a document seen by Bloomberg.
The layoffs amount to about 5% of Dell’s global workforce, according to a corporate representative.
Read also: Meta CEO Mark Zuckerberg confirms more layoffs are on the way – the details
Dell and other hardware makers have seen demand slump after a pandemic-era PC boom. Personal computer shipments are set to decline dramatically in the fourth quarter of 2022, according to preliminary data from industry researcher IDC. Dell saw the worst loss among significant corporations, down 37% compared to the same period in 2021. PC accounts for about 55%. Dell’s revenue.
Co-Chief Operating Officer Jeff Clark informed employees that previous cost-cutting initiatives, such as a hiring freeze and travel ban, were no longer sufficient. According to the spokesperson, the restructuring of the department and reduction in jobs is being considered as an opportunity to increase efficiency.
Read also: Amazon India begins layoffs, offers 5 months’ salary as severance
Dell announced a 6% decline in sales for the quarter ended October 28 and a revenue projection for the current quarter that fell short of analysts’ expectations, citing lower purchases of information technology by customers. It is likely to reveal further details on the financial impact of the job cuts when the business announces its fiscal fourth-quarter earnings on March 2.
In recent months, the computer sector has been hit hard by layoffs, including at many of Dell’s rivals and competitors. HP Inc., which has also invested heavily in the PC sector, announced 6,000 layoffs in November.
questions to ask
1- Who is the owner of Dell Technologies?
Michael Dell is the CEO and President of Dell Technologies Inc.
2- Is Dell the gift of China?
It is an American corporation that not only sells laptop and desktop computers but also manufactures, repairs and markets various hardware and component parts for computers.