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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.
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]
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
THQ 'axing' 200 employees to leave, pretty please
With THQ announcing a $35.3 million dollar loss this past fiscal year, it's time for some people to get the ax. Not executives, mind you, but the little people. Gamasutra reports that CEO Brian Farrell stated 200 people will lose their jobs, but that most of them are employees working on "last gen" platforms like the PS2. On the bright side, the company plans to add about 300 new employees this fiscal year to "key studios" working on "key products."The culling may have already started after rumors last week that members of THQ's Rainbow and Sandblast studios were laid off. To prevent people from losing their jobs in the future, CFO Colin Slade says that THQ is instituting a four-stage greenlight process to ensure better quality (and apparently better sales) from the publisher's titles.[Via GameDaily]
Nokia settles with German unions for $314M
Nokia's decision to close that factory in Bochum, Germany and move its operations to a cheaper site in Romania might lower costs in the long run, but for now things seem decidedly in red: Nokia and the German unions who represented the 2,000 laid-off workers at the plant have agreed to a €200M ($314M) settlement, which will probably end the demonstrations and calls for boycotts that have been going on. Of course, that's on top of the $92M (plus another $6.2M) the German government wants back in grants and tax breaks for subsidizing the plant, but what's another hundred mil between friends?[Via Textually.org; image courtesy of Reuters]
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.
Nokia boycott urged by German unions
So apparently, that whole "plan to shut down a Bochum Nokia plant" didn't exactly sail over everyone's heads, particularly not in Germany. Reports are now flowing out that unions in the nation are taking it upon themselves to urge consumers not to purchase wares from the firm, with Dietmar Muscheid, regional head of the Confederation of German Unions (DGB), being one of the most vocal. Muscheid went on to state that "whoever buys a cellphone today should think about the choice they are making and what catastrophic consequences the company's actions in Bochum will have for thousands of workers." 'Course, the EU has already proclaimed that Nokia won't be getting a dime in relocation (to Romania, supposedly) aid, but unspecified government officials are reportedly lined up to speak with suits from the handset maker later this week to "discuss the plant's future." Whether or not all this commotion will actually change any minds, however, remains to be seen.
Digeo lays off half of its employees, replaces CEO
Merely days ago, Digeo trumpeted a number of Moxi-related partnerships and simultaneously failed to give us any additional details as to when we could expect either of its standalone HD DVRs. Now, we could have a reason why. According to a breaking report from The Wall Street Journal, the firm is axing 50-percent of its staff (leaving 80 employees) and Mike Fidler, CEO, is handing over his position to Greg Gudorf, the company's current president and chief operating officer. As if that weren't enough, the report also claims that Digeo will "not release two digital media recorders that had been planned," and rather, it will "focus on a [single] next-generation consumer model." Notably, we aren't told whether or not said model is the HD DMR that's already out in beta testers' hands, but we suppose only time will tell. [Warning: read link requires subscription]Update: We've now learned that the oft delayed Moxi Multi-Room HD DMR and the Moxi Home Cinema Edition DMR will not be released. Additionally, we're told that details about the firm's upcoming consumer DMR (which will be released) will be "announced later in the year." Full release posted after the jump.
Palm laying off employees?
We haven't heard any confirmations of this just yet, but PalmInfocenter has it that a number of Palm employees have already been shown the door and asked not to come back. Citing "reliable sources," it goes on to mention that the layoffs could reach beyond North America and could affect "hundreds" of employees. 'Course, the past few months quarters haven't been the best Palm has ever seen or anything, but this would certainly make a bad year even worse if true.
Gerstmann-gate: Blackout Monday update
Big wheel keep on turning. Gerstmann-gate keep on burning. If you missed it over the weekend, see our Saturday and Sunday updates, as well as coverage of surrounding rumors and Gerstmann's exclusive comments to Joystiq. Many members of the gaming community are participating in a loosely organized "Blackout Monday" boycott of Gamespot today. An unrelated, real-world protest is being planned for Dec. 8 - 10 in front of the CNET offices. GamePolitics: "If the highly detailed rumors surrounding Jeff Gerstmann's firing are true, then the people who run GameSpot have, by their own hand, utterly trashed a great media brand." The story hasn't made a big splash in mainstream print or broadcast outlets yet, but it is beginning to get a little play on mainstream web sites. See USA Today, BBC Tech (link at bottom right) the San Jose Mercury News, The Guardian, the Dallas Morning News and Norway's third-largest newspaper, Dagbladet (sketchy machine translation). GameFAQs briefly changed their front page poll over the weekend to ask users what would happen next in the controversy. Over 25% of respondents predicted that "Gamespot begins its slow decent [sic]." Virtual Fools has compiled an impressive list of links to comments from current and former Gamespot staffers. [Thanks to all the tipsters who sent in links.]
Rumorang: Gerstmann-gate edition
We're sure you'll agree our reporting on the continuing controversy surrounding Gamespot's firing of Jeff Gerstmann has been quite extensive. Still, there are a few angles that have come up that we still feel a little questionable reporting on as fact, or even credible rumor. Still, they are getting play elsewhere around the web, so we'll let you have a little peek behind the curtain and in to the sausage-making world of the news process. Here's what we know and why we're a bit skeptical: Some sites are reporting that Gamespot staffer Tim Tracy has also been fired and/or left the company, possibly for reasons related to Gerstmann's dismissal. The sole source for this rumor seems to be a cryptic post on Tracy's Gamespot blog where he appears behind a stack of shoeboxes with the footer, "It's been real." This could mean that he's no longer with the company ... but it could also means he just has a shoe fetish. We're working to get an official comment on the situation from Tracy or Gamespot and will let you know what we hear, but for the time being we don't want to speculate on what, if anything, this could mean. Some commenters around the web are suggesting that the firing was due to the influence of some recent hires at CNET, specifically Executive Vice President Stephen Colvin and Director of Games & Entertainment Josh Larson. These commenters will point to Colvin's previous involvement with bastions of journalistic integrity like Maxim, Blender, and Stuff magazine (read: sarcasm!) and Larson's heavy career focus on marketing to gamers. This circumstantial evidence doesn't do much for us, and while we've heard some rumblings of their involvement from somewhat credible sources, nothing has been better than second hand information. We'll keep digging, but right now it's too early to implicate anyone specific (or in general, for that matter). Finally, some commenters are claiming that Gerstmann wasn't fired because his Kane & Lynch review was negative in tone, but because he did not actually play the game sufficiently before reviewing it. The supposed evidence, as often happens with such allegations, is Jeff's Xbox Live Gamercard, which only has six achievements and 90 Gamerscore points for the game (some overstate this claim to say he only got one achievement. Fact check your rumors, people!) Reviewers often start reviews playing early code that might not have achievements unlocked. Gerstmann could have been playing on Microsoft's private PartnerNet system when reviewing the game, or simply been on a separate system/Gamertag when doing some of the playing. Furthermore, the content of both the text and video reviews seems to clearly indicate deep involvement with the game. We're waiting to hear back from Gerstmann on this issue directly, but until we do, it'll take more than a Gamercard to convince us Jeff was anything less than a professional in this matter.
