3Com to layoff 10% of its workforce

Networking provider 3Com will lay off about 10% of its worldwide workforce of nearly 3,900 to reduce costs amid a continued...

Networking provider 3Com will lay off about 10% of its worldwide workforce of nearly 3,900 to reduce costs.

The layoffs will take place over the next two quarters and will affect the company's employees in the US, Europe and the Middle East and Africa, with most of the cuts coming from its Californian location.

The layoffs come in part as a result of the close of the sale of the company's CommWorks carrier equipment business in May to UTStarcom.

3Com president and chief operating officer Bruce Claflin said that with CommWork's sale, the company will function as a single operating unit, enabling it to set a more competitive cost structure.

Despite the cuts, the company said that it would continue to increase its sales, marketing and customer service capabilities by adding account executives and consultants to support enterprise customers.

3Com added that it planned to broaden its channel partnerships, particularly through its joint venture with Huawei Technologies announced last March.

Scarlet Pruitt writes for IDG News Service

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