"Cisco Systems Announces 5% Workforce Reduction, Cutting Over 4,000 Jobs"

Cisco Systems is laying off over 4,000 employees, representing about 5% of its workforce, as part of a reorganization expected to cost an additional $800 million. This move follows a previous cut of 5,000 workers in late 2022 and comes amid a $28 billion acquisition of Splunk. The tech industry has seen a wave of significant layoffs at prominent companies, despite their continued profitability, as they navigate uncertain economic outlooks and shift focus to areas like artificial intelligence. Cisco's stock price has seen minimal gains, and its latest quarterly results and forecast have led to a nearly 6% drop in extended trading. The company aims to capitalize on AI adoption and its close relationship with chipmaker Nvidia.