Hewlett-Packard is to cull 9,000 positions within its worldwide Enterprise Services organisation as part of a $1bn (£682m) investment plan.
On a conference call HP said it would seek to generate 9,000 overall cuts - the bulk of them through staff attrition - but hoped to re-hire approximately 6,000 in various capacities.
Following the integration of EDS, HP now wants to bulk-up its business to better compete against the likes of IBM as the worldwide ICT market emerges from recession, and plans to pump $1bn into data centre automation to achieve this aim.
"Over the past 20 months we focused on integrating EDS and improving profitability," said HP Enterprise Services senior vice president and general manager Tom Iannotti.
"Now that the integration is largely complete we have identified significant opportunities to grow and scale the business. These next generation services will enable our clients to benefit from ... combined technology and services leadership," he continued.
HP said it would book the $1bn charge in its GAAP results through to 2013. It expects to generate annual gross savings of around $1bn, or between $500m and $700m after reinvestment.
It did not say where the cuts might be made.