Do we know how many today? Which BUs have been hit the most?
34 replies (most recent on top)
Stopping useless wars: Ukraine, Israel
Fed rate cut
They have a few tricks to juice this market higher one more time before elections. After that its game over. We will never see 185/1850 on AVGO again. You had your chance and did not take it. The AI trade is not working. They will pump other sectors now. Its the rotation trade before the crash. Small Caps, Regional Banks, Home Builders and other craaap.
Everyone has a plan until they get punched in the face.
Simple fact is Hock overpaid for VMware. 70 Billion itself was a huge overpayment. But because of 18 months delay, it ended up being 90 Billion. There are no two ways about it. He has to cut 90% of the workforce. The layoffs will seem random because there is no way to ascribe logic to 90% cuts.
The Private Equity buddies ki-led the golden goose. They pulled out 45 Billion in cash and loaded up Broadcom with 70 Billion in debt. This is their pay day. Deal with it.
Sell stocks and build that cash cushion. Have at least 2 years of expenses in cash. By that time the recession will be over. Meet you all on the other side. Best of luck.
5% vs 7% for the VMW bank loan. Hock saves $100M per year in interest on $5B.
kiddo, the prospectus is what rate it was floated. Not the yield that the market wanted for this junk.
Watch the Fitch rating and read their report for why Broadcom is rated junk.
@1viw+1tGgs4ay If you cannot find another job, you are probably cattle not pet. So stop complaining and count your blessings.
"So you should be grateful to Broadcom"
Why? They are cutting more VMware employees without prior notice.
Be grateful, seriously? Do you want to be treated like fearful sheep or cattle?
@1hol+1tGgs4ay So you should be grateful to Broadcom that you still have a paycheck in this bad market with the addition of the golden handcuffs. You are lucky to have a job when nobody else wants to hire you (at the moment). The logic doesn't make sense. You are annoyed at the company that still pays you (when nobody else wants) and admire the companies that don't want you.
@1hol+1tGgs4ay
Yeah! Just relax while being fhocked! Life is good.
If it's a large layoff you will not get notified in a 1:1. You will get an email. And your manager may not even know you are getting laid off.
@1vbz+1tGgs4ay Respectfully. Why don't you leave?
I am someone else but it is golden handcuffs and a bad market to get hired.
If you talk to any other acquired company they will say the same. The first two years are horrible. You will hate your job, your life, your work. But you will get paid. After two years Broadcom has punched your org into the shape it wants and you can just relax into that. But it is a miserable few years until that happens.
@1vbz+1tGgs4ay Respectfully. Why don't you leave?
Ha. Bloomberg is fake news.
Go to the source. Here, I'll give you the link to the 5B bond prospectus.
5% vs 7% for the VMW bank loan. Hock saves $100M per year in interest on $5B. That is 2% × $5B if you need to run the math.
https://www.bamsec.com/filing/114036124032854?cik=1730168
Broadcom is junk bond grade. BB-. You can check the Fitch ratings. It is public info.
New bond is 5% interest
Bloomberg leaked the info. It clearly says 1.5% above treasury. Which is 6.5%. Not 5%. This is public info. Don't BS.
I have a 1:1 scheduled for Aug.
Can I ask are people getting fired in the 1:1s or just by emails?
We are all bitter. This is probably the worst company to work for. F waste of time - no proper projects, constant fear of layoffs. Much worse culture than Amazon.
Got hit today VC ui, hate this trash company
@1nfn+1tGgs4ay You sound bitter.
I know a lot of people were hoping to be get laid off. Conglats to all those people.
Got hit. I guess I won’t be coming to this page anymore.
No idea how many got impacted. Honestly I didn’t and still don’t care.
Moving on. Got hock tua’ed. Doesn’t feel good, oddly.
Wrong. 5b bond is used to pay off portion of VMW bank loan in addition to 4B from euc sale. New bond is 5% interest vs 7-7.5% for VMW bank loan and extends maturity.
Broadcom raised 5 Billion in the corporate bond market recently at 1.5% above treasury yeild. That is the top tranche of the junk bond market. The lowest tranche will be 9% above treasury yield which is around 14% total interest. Broadcom is in the junk bond category already and will slowly move down to the junkiest part of the market. They are refinancing older lower interest debt with newer higher interest debt. As interest expense goes up, the free cash flow goes down and overall Broadcom will endup in the junkiest part of the market. There is no way to get out of so much debt. Buying VMware was a disaster. They pulled 50% in cash and so Dell and others are sitting pretty in huge piles of cash while ki-ling VMware. Expect the layoffs to snow ball.
Legal was impacted too.
What was your package
Got hit today, kinda happy it’s over to be honest and I love VMware! But after the VCF BU cuts a few weeks ago we all knew we were not safe. For anyone still there, your day is coming soon, there is nothing in your power to stay, doesn’t matter what you do or how good you are or your relationships with management, you are a number on a spreadsheet so get ready for it now. You are never gonna get those RSU’s, correction you were never gonna get em! Save cash, polish resume, network on LinkedIn. Everyone will eventually get cut…everyone! I am just happy it was this year because I got the VMware severance. Next year good luck getting even a week of pay. Also I am out when there are still some open positions elsewhere, if you get cut in January god help you! I honestly don’t think Hock understands VMware, worst investment ever and customers already super pi---d off but Michel Dell is happy! My future goal is to seek out alternatives for customers, maybe promos or hyper-v are just good enough now. Not being paid by VMware changes my perspective for sure. I’ve always been customer driven but the way vmware customers are being treated today is just not right.
A sales team I worked with wasn't too terribly upset. They've been trying unsuccessfully to get quotes done for a couple months. Hard to be upset about losing a sales job where you can't sell.
VCF Core Sales-top performers hit. Core SEs also and VMC on AWS, plus Services etc.
CB too, CS team cuts.
SDE division was hit very hard, many more were cut than the at the start of acquisition...
Core VCF Sellers and SDE sellers got cut, have not heard about any cuts on Tanzu or ANS BU
We saw 20-30% laid off today on both SE and AE side of the house
Looks to be SDE division across the board
Layoffs will continue till Oct 23rd. Don't take it lightly. Every week there will be cuts.
HOW MANY GOT LAIDOFF?
Could you specify your job family also if you ve been affected? EMEA friend waiting to see what will hit us.
Hope that if you got affected it is what you wished for and if not, take care of yourself and reach out to folks on LinkedIn!