American MNC Dell Technologies Inc is planning to cut 2,000 to 3,000 jobs in 2016 after the EMC Corp. acquisition. The Hopkinton-based EMC Corp acquisition is reportedly the largest technology acquisition ever, and that has resulted in the job cuts, according to a Bloomberg report. The acquisition was valued somewhere around $67 billion and Dell has therefore decided to make cost savings of about $1.7 billion in the next 18 months. The company is mainly focussed on boosting sales figures many times that amount according to the sources in the report. The company has around 1,40,000 employees.
The acquisition had brought together the leading provider of data-storage products and one of the largest manufacturers of servers and personal computers. The job cuts will reportedly be in the USA especially in supply chain general and administrative posts and also a few some marketing positions, Bloomberg reported. Any announcements related to the job cuts haven’t been made public yet. Dell Founder Michael Dell was quoted as saying, “There are some overlapping functions and that sort of thing but that is not the primary feature of this, but there is some of that.” He refused to give any job reduction figures.
“As is common with deals of this size, there will be some overlaps we will need to manage and where some employee reduction will occur. We will do everything possible to minimise the impact on jobs,” Dell’s spokesperson, Dave Farmer had said. “We expect revenue gains will outweigh any cost savings, and revenue growth drives employment growth.”Farmer added. With companies like Amazon, Microsoft and Google continuously making its foray into the area of cloud services the tech war has become more interesting.
