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Modu reportedly lays off around 25% of its employees
Who's praying now, Modu? The once cocky and altogether promising handset maker has apparently fallen on tough times, with a recent TalkingMobile report suggesting that around one-quarter of its staff (including a few executives) has been told to head home. The reason? Aside from the obvious "the economy" cop out, the company has also been hit hard by launch delays and the inability to land a carrier partner willing to shell out for promotions. Granted, this is far from the end of Modu -- there's still cash to be burnt and avenues to walk down, but we'd probably skip over it when sending out job applications right now.[Via IntoMobile]
Palm axes an undisclosed amount of employees, sort of blames itself
My, my -- how's this for truth in advertising? Palm InfoCenter has confirmed with a Palm spokesperson that the flagging outfit will be laying off an undisclosed amount of employees as the economy worsens and the firm attempts to keep that final nail from being slammed down on its coffin. According to the spokesperson, the company will undergo a certain amount of restructuring (sound familiar?) that will "result in company reductions in the US and internationally." Incredulously, the statement also included this gem: "The global economic downturn continues to dampen demand for consumer goods around the world, and the impact on the economic environment is worsened by our maturing Centro line and the length of time it is taking to ramp our new Windows Mobile products." We won't say for sure that it's actually taking some of the blame here, but it sure sounds like it. Now, if only it would take charge of its future...[Image courtesy of DayLife]
SK Telecom no longer casting glances in Sprint's direction
We've been hearing about a possible SK Telecom-Sprint tie-up since July of 2007, but if either firm ever hoped to actually tie the proverbial knot -- well, let's just say that ship has sailed. Given the weakening economy and the general tendency to resist taking risks right about now, the Korean giant has dropped its plans to partner with Sprint in any form or fashion. In related news, Sprint is looking to hop on the quickly expanding layoff bandwagon, but given its humongous Q3 loss, we suppose that's not totally illogical. We're told that the carrier is offering "voluntary buyout packages" to an unspecified number of employees, which is far more awesome than the "thanks, now get the hell out of here" line that's being handed down by so many other firms. Crazy times, we tell you.[Via Boy Genius Report]
UIQ Technology puts entire staff on notice of dismissal
Ugh, this is just downright depressing no matter how you spin it. Sure, it's just the reality of business and all, but it's no fun to hear that 270 staffers will soon be looking for employment when UIQ Technology finishes climbing into the grave. After hacking 200 jobs in June and being coined "dead" by Sony Ericsson's Patrick Olson, All About Symbian has it that the company has put its remaining employees "on notice of dismissal." We're told that SE has agreed to "continue funding the company on a by month by month basis in order to allow it to investigate options for the future," but from the outside looking in, we'd say the outlook is bleak. Thankfully, it sounds like those affected will at least be assisted as they exit, but now would probably be an opportune time to shed a tear for UIQ as we knew it.
SanDisk likely to cut 15% of staff as it downsizes
According to unnamed industry sources, SanDisk is primed to fire up to 15% of its staff, which would amount to around 450 to 500 employees. The purported cuts will be made as the company downsizes in order to cut costs, hot on the heels of a $155 million Q3 loss and sales that have sunk by 21% year-over-year to $281 million. Call us crazy, but we get the feeling this won't be the last story we hear over the next few months that ends with dutiful workers being sent home.[Image courtesy of Semiconductor]
Axe falls again at AMD, 500 more employees laid off
Merely seven months after AMD hacked 1,600 employees from its roster, we're seeing 500 more head for the exits. The latest round of layoffs at the Sunnyvale-based chip maker amounts to 3% of its global workforce, and according to spokesman Michael Silverman, the "headcount reduction is part of the company's efforts to reduce [its] cost structure." The firings come a month to the day after a breakup was announced, and they'll affect every division of the company save for the manufacturing operations -- which are, in fact, precisely what's being spun off. Just another day in paradise, eh AMD?[Via MarketWatch]
Pioneer forecasts even wider net loss, names new president
As the flagging economy wreaks havoc on just about every mega-corp out there, the latest to publicly admit to being affected is Pioneer. After posting a rather significant loss earlier this year, the company is now guiding to a wider-than-forecast net loss of ¥78 billion ($789.9 million) for the year to March 31, blaming the surging yen and the slowing economy. The company is scheduled to nix its unprofitable plasma-panel operations by February and slash 2,000 jobs this fiscal year in order to counter the bleeding, and it looks as if former president Tamihiko Sudo is one of the first bigwigs to fall. As of November 16th, Susumu Kotani (pictured right) will take over that role, though we can't imagine he's looking forward to grabbing the captain's chair in such a turbulent environment.[Via PC World, image courtesy of DayLife]
Dash cuts 50 employees, drastically changing business model
It's hard to say if Amazon's recent fire sale of the Dash Express was an indicator of all this, but Dash is making some serious changes, regardless. Reportedly, the outfit has slashed 50 employees -- or around two-thirds of its workforce -- which will leave 30 workers who will operate primarily in engineering and support. According to now-CEO Rob Currie (who has replaced founder Paul Lego by Lego's choice), Dash "wanted to launch its device in the retail channel, but the economic changes made it rethink its business focus." To that end, Dash will actually cease making and selling its own hardware, and instead it will "license its platform to makers of automobile on-board navigation systems, smartphones, netbook-style mobile internet devices and other consumer electronics." So, what does it all mean? It could mean that the connected Dash platform is on the way to an automobile or cellphone near you, but we suppose only time will tell. As for existing Dash owners? Continued software updates and an online Dash Driver Network has been promised.
Motorola to layoff 3,000 employees, most of 'em in handset division
To be honest, we were surprised that we didn't hear this number along with the other doom and gloom professed during Motorola's Q3 earnings call, but the writing was very clearly on the wall. As part of the mentioned $800 million expenditure cut planned for 2009, 3,000 (more) of Moto's employees will be looking for work elsewhere. According to an unnamed spokeswoman, a "little over two-thirds of those layoffs [will be] in the handset division." And just think -- if Moto would only use all those hands to get an Android-powered phone out before "entirely too long from now," maybe these cuts wouldn't even be necessary. Maybe.
Sony Ericsson laying off 450 employees in Research Triangle Park, NC
"Planned" and "executed" are two very different things, and while we knew Sony Ericsson was mulling the idea of hacking 2,000 jobs, the hammer has finally fallen in Research Triangle Park, NC. The company will soon be axing 450 employees at its North American headquarters as part of a large reorganization, with most everyone knowing by the week's end whether they'll stay or go. According to Aldo Ligouri, Sony Ericsson's head of global communications and public relations, the RTP cuts are "part of company-wide changes that Sony Ericsson announced in July," and in whatever context, he added that "this is our map of how we see things moving forward." Just to put things in perspective, the outfit only has about 750 workers in the North Carolina-based facility, which is primarily seen as an R&D hub. Tough news to hear, no matter how you spin it.[Image courtesy of Flickr]
HP making changes within Voodoo?
Here's a curious one -- merely months after HP essentially revitalized the Voodoo brand and cranked out the undeniably sexy Envy 133 laptop / Omen desktop, in flies word that the branch may be broken in the foreseeable future. In response to rumors that the Voodoo PC division would be canned entirely, Rahul Sood (yeah, the same guy that pimped an undisclosed new gizmo barely a week ago) stated that "HP is working on a plan to better leverage its existing resources to bring Voodoo products to market faster and make them more accessible to consumers." An HP spokeswoman was also quoted as saying that "[it] continually assesses and re-balances the size of its work force relative to the business environment and market conditions." In other words, no one is denying nor confirming the whispers, and while we have our own suspicions about what that means, we'll let you make of it what you wish.[Via CNET]
NCsoft creates NC West, confirms UK layoffs
NCsoft is doing some massive consolidation and bringing NC Interactive, NC Europe, NC Austin and ArenaNet under one umbrella: NC West. The publisher will focus on becoming the "world's premier western publisher of MMOs" ... we're sure Blizzard is shaking. By year's end, NC West's headquarters will be established in Seattle.The company also confirmed rumors that 58 positions at the company's UK office, most of which were in product development, are "potentially redundant." Joystiq's Corp-speak Translator®: They is fired.
Age of Conan GM fired amidst in-game sex scandal
An Age of Conan player tricked a naïve, Funcom-employed Game Master (an in-game customer service representative) into pursuing cybersex with him. The player posed as a female playing a male character and enticed the male GM with flirtatious remarks and innuendos. After the GM fully threw himself into the moment, the player revealed that he was male, and that the conversation had been a prank.Friends of the player posted screenshots of the conversation on MMORPG's forums, and the ensuing controversy led Funcom to fire the GM for unacceptable behavior and violation of the customer service guidelines. Destructoid then interviewed the prankster and hosted the unedited version of the conversation screenshots.Frankly, we're not sure who is the bigger jackass -- the GM for his unprofessional behavior, or the player for baiting him into it. Everyone seems to have his or her own unique interpretation of this fiasco.[Via Big Download]
Nokia to pay German state ???1.3 million to settle Bochum dispute
Germany wanted $6.2 million in research subsidies back from Nokia, and in addition to the "tens of millions" that the company has already relinquished after the highly-disputed Bochum plant closing, it'll be coughing up another €1.3 million ($2.04 million) to hopefully close the door on the matter. Said payment will be addressed to North Rhine-Westphalia, which was quite angry after the handset maker decided to hack 2,300 jobs from Germany and relocate operations to Romania for "lower labor costs." The sum here is in addition to the €20 million "Growth for Bochum" foundation that the outfit started, but apparently that show of goodwill didn't really change the hearts of those already bitter.[Via PhoneScoop, image courtesy of Reuters]
Sony Ericsson sees net profits fall 97%, looks to cut 2,000 jobs
Sony Ericsson warned the world just over a fortnight ago that things wouldn't be too rosy when it came time to announce Q2 results, and rosy things are not. Even though the handset maker was hoping and praying to break even at the end of the quarter, net profits ended up falling through the floor to the tune of 97%. As predicted, weak sales of mid-to-high-end mobiles were blamed for the bulk of the bad news, and it did affirm that conditions would remain rough for the rest of the year. Granted, the looming launch of the Xperia X1 should help matters a bit, but without a new stable of low-end cellies to send to emerging markets, it'll be a long road back to the top. Unfortunately, SE's sagging position in the market has left it slashing 2,000 jobs across the globe, though it didn't say exactly where the cuts would be made. It's okay SE, there's only one place to go when you're laying on the bottom... or something like that.[Image courtesy of Flickr]Read - Sony Ericsson's Q2 earningsRead - Sony Ericsson plans job cuts
HanbitSoft CEO claims ownership rights to Hellgate:London and Mythos
We're still reeling over the news that Flagship Studios has met its demise. Seeing any hard working development studio with loads of potential go belly-up isn't easy considering all the real people affected from the fallout. Bill Roper hasn't made a public announcement yet, but the closure of Flagship Studios was confirmed. What will happen to Mythos and Hellgate:London is a question that remains on many minds. The HanbitSoft CEO, Kim Ki-young chips away at that answer in a response to an inquiry by TheGames.co.kr seeking clarification about the situation surrounding Hellgate:London and Mythos. In a translation provided by Hellgate Guru, Kim Ki-young of HanbitSoft states: "If we can take intellectual property rights of relevant products from Flagship Studios, we have confidence to develop the games ourselves based on T3 Entertainment's advanced technology' and 'we believe we can service fresh and interesting games to online gamers by getting intellectual property rights and development. This crisis could be an opportunity for us."
Flagship Studios: It's worse than that; he's dead, Jim
Although our previous coverage of Flagship Studios -- creators of Mythos and Hellgate: London -- mentioned that a large, undisclosed portion of the staff were laid off, it was only today that we discovered the true extent of the damage. Our mothership site Joystiq has posted the news that the entirety of the team has been fired with 30-day pensions.So what's going to happen to Hellgate and Mythos? Despite their earlier denial, there is some truth to the Hanbitsoft rumor, except that they'll be receiving the IP rights to Mythos instead of Hellgate, as was previously said. Hellgate will go to Dallas-based Comerica, a financial services company. Hanbitsoft, being a Korean game company, and distributor of the Starcraft license in Korea, might choose to keep Mythos alive, but who knows what Comerica will do with Hellgate? As of this writing, neither title's official sites have posted any information about Flagship's closure. We'll bring you news on the fate of these two titles as soon as we know anything ourselves.
O2 gives sneaky staff the boot for selling iPhones on eBay
The UK's O2 has apparently given six employees the boot and are investigating another 20 after it came to light they were using their 20 percent staff discount to buy iPhones and sell them on eBay. While no exact number was given, apparently they bought "noticeable quantities" of everybody's favorite -- and now discontinued -- set, to help pad their retirement fund. Of course, with handset sales likely stagnating while everybody waits on the iPhone 3G, you'd think O2 might have given them a break for clearing out all that old stock.[Via RCRNews]
AMD decreases Q1 sales outlook, expects to cut workforce by 10%
It's one thing to put the kibosh on whispers of across-the-board layoffs; it's another to go and fire twice the amount rumored. Sure enough, a recent report from the AP notes that the California-based chipmaker is expecting to layoff 10-percent of its 16,000-person workforce by Q3 2008. Additionally, the outfit is trimming its sales outlook for Q1 due to "poor sales in all of its business segments," and as if that wasn't enough, it's expecting to "incur an [undisclosed] restructuring charge in the second quarter as a result of the layoffs." Ouch.[Via The Street, thanks Aaron]
Motorola to cut another 2,600 jobs
The tough times just don't seem to end at Motorola -- the company announced today that it's laying off another 2,600 workers, for a total of 10,000 positions eliminated since the start of 2007. That's on top of the various high-level executive departures that have been taken place lately, not to mention the company's plan to split off its mobile phone business, which will undoubtedly lead to more cuts down the line. The goal is to reduce costs by some $500M by the end of the year, and some of the jobs being lost come as Moto closes a factory in Singapore and a WiMAX development lab in Florida. There's no word on when the cuts are going to come, but here's hoping all these aggressive steps lead to a little vacation for Sad Moto here.
