Thread regarding Commscope Inc. layoffs

Did they really know what they were buying and why?

Business 101, do not use leverage buyout to acquire a company with a shrink bottom line!
What was going on in the heads of Commscope management? It's clear now that they didn't know what they were buying, nor had a vision regarding what they'd do with the business once they acquired it. Since the acquisition, they have had a round of layoffs every quarter, and in every ER conference call, they never failed to blame the Arris BUs (CPE in particular) for Commscope’s current financial predicament.
The current plan appears to be eliminate CPE by any means necessary; attempt to transform the remaining Commscope business into a saleable package before all the wheels fall off the wagon.

This is someone’s post from thread +1aiPczne and I often also wonder if management knew what they were actually buying and what made them do so when it comes to acquiring Arris.

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| 1371 views | | 2 replies (last April 13, 2021) | Reply
Post ID: @OP+1aklIhdc

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My take is Commscope didn't understand how to deal with ARRIS.

ARRIS made software that runs on hardware. Hardware was not the primary business (for the most part), and acted like a software company. Yes I know CPE and E6000 and all that was hardware....

Commscope makes physical products. As long as the factories ship cable and widgets, everything was fine.

Management didn't understand the differences between running a manufacturing company vs running a software company and it showed.

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Post ID: @1vyn+1aklIhdc

They only wanted Ruckus. But they ruined Ruckus in the process. Unfortunately they did not think this through very well.

We watched over 3/4 of the employees left Ruckus attrition, and some were even fired, all since the Commscope acquisition (every single quarter). They keep blaming Arris, but in the process have nobody to blame but themselves Commscope CLevel management. Because they made the exact same mistakes as Arris. Last week there were more layoffs at Ruckus. We lost several people again, while they keep blaming Arris.

I wish Commscope had never bought this company.

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Post ID: @1zzd+1aklIhdc

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