Logitech Cutting 5% of Workforce In Shift To Mobile
Over the past few years, the consumer electronics industry has shifted in some fairly monumental ways. Desktop sales are eroding, tablet sales are growing, dumbphones are becoming ever more useless, and the peripheral market is expanding rapidly. When you're Logitech, shifting to avoid negative consequences seemingly means cutting staff. The company just announced plans to cut 140 positions, which amounts to around 5% of its non-manufacturing staff. It's all part of a grander scheme to streamline operations as it shifts away from dying businesses and embraces mobile.
According to the company: "These priorities include increasing focus on mobility products, improving profitability in PC-related products and enhancing global operational efficiencies. This alignment to the strategic priorities creates incremental cost savings of approximately $16 to $18 million in operating expenses in Fiscal Year 2014, a result of a workforce reduction. This is in addition to the previously announced $80 million savings in annual operating costs (operating expenses plus costs of goods sold) for Fiscal Year 2014 related to the Company's April 2012 restructuring."
In other words -- fewer Harmony remotes, and more iPad keyboards.
According to the company: "These priorities include increasing focus on mobility products, improving profitability in PC-related products and enhancing global operational efficiencies. This alignment to the strategic priorities creates incremental cost savings of approximately $16 to $18 million in operating expenses in Fiscal Year 2014, a result of a workforce reduction. This is in addition to the previously announced $80 million savings in annual operating costs (operating expenses plus costs of goods sold) for Fiscal Year 2014 related to the Company's April 2012 restructuring."
In other words -- fewer Harmony remotes, and more iPad keyboards.
