Citrix announces to cut 900 Jobs

Last week Citrix announced its financial reports for Q4 and Fiscal year 2014, despite the positive results that the company had for full year 2014, the general opinion is that the company is underperfoming, and in addition Citrix also disclosed that will lay off 900 employees across its worldwide offices, due to a “so called” restructuring program.

One year ago Citrix was talking about a new plan for the market approach and it was announcing the hiring of former Gartner analyst, Gunnar Berger as Chief Technology Officer (CTO) for the Desktop and Apps Group, with the objective to renovate the business.

In the PR Mark Templeton, president and CEO, stated to be “proud but not satisfied” about the company’s performance and the dismissal of 700 full time employees (and 200 contractors) is a strong message to the market. Citrix expects to save about $90 million pre-tax and the layoffs are going to cost about $45 million.

Citrix, that at the end of 2013 counted about 9,166 employees, shares the momentum with IBM and Microsoft that also have left people home during last year, but instead of an actual renovation this reduction might definitely effect Citrix’s supply chain from engineers to administrators.

We can expect for the coming year that Citrix will be protective against the existing business and less committed to new markets such as cloud computing, definitely worth keeping an eye open on the company and follow its moves.