In latest round of layoffs by tech majors, SAP cuts 2,900 jobs and IBM 3,900


European software giant SAP joined the parade of tech companies laying off staff, announcing on Thursday it would cut about 2,900 jobs after the iconic American tech company IBM said it was cutting about 3,900 jobs.

These numbers come on top of the 150,000 jobs cut last year and about 30 percent of that number reported by ComputerWorld on Wednesday.

SAP said job losses would be about 2.5 percent of its workforce of about 112,000.

The German-based company also said it wants to dump its 71 percent stake in US software company Qualtrics.

SAP CEO Christian Klein, in a streamed video, called the layoffs “very targeted restructuring” that would help it focus on “areas where we are strongest to continue our accelerated growth.”

IBM linked the layoffs announced Wednesday to the spin-off of its engineering department and the sale of its health service, claiming it was not linked to revenue.

IBM said quarterly revenue was up 6 percent to $16.7 billion.

IBM Chairman and CEO Arvind Krishna presented a positive picture, saying, “Looking forward to 2023, we expect full-year revenue growth in line with our mid-single-digit model.”

“Customers across all regions increasingly embraced our hybrid cloud and AI solutions as technology continues to be a differentiator in today’s business environment,” he added.
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