Thread regarding Cisco Systems Inc. layoffs

After 75% Red Badge Cut, CX is due for 15% Blue badge Cut in the next 4 weeks

As you all know 75% of teh contractors in CX were made redundant during the last 3 months. Most of it happened in the CX centres.
The latest is, CX is getting rid of all small accounts and they are keeping only what they call signature accounts. These are major SP accounts like AT&T,verizon, BT, TI, DT,Telstra etc.
The CX enterprise business is in a lot of trouble for a long time. So except for few strategic accounts like Microsoft,google, etc, CX is getting rid of all small accounts. Their plan is to manage such accounts through partners. This is a big shift that will happen in the next 12 months. As a primary step, they are planning to cut 15% of all blue badges in all theaters. They are planning to justify it with AI efficiency improvement and margin pressure. So Braze for it amigos.


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Post ID: @OP+1kq6d4166

30 replies (most recent on top)

A year ago in a company meeting when G2 was saying that most customers don't know what their HTOM does, and all the changes where the companies have to have premium contracts to get HTOM and HTE, well I know something big was going to happen. I am not sure this is all correct, but it is sure that the HTOM/HTE role and the HTTS support(whatever it is called now) will be impacted in some way.

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Post ID: @zs+1kq6d4166

@vn so are you saying????
CX is getting axed? Are you saying it’s a large number of people being axed period? What are you saying?

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Post ID: @vp+1kq6d4166

I dont know about the Authenticity of this post or how OP got the % figures. We had an all hands with the director yesterday and he was painting a grim picture. He was talking about margin pressures and potential head count reductions. I have never heard these things from a director in my 17 Years with cisco. During all layoff cycles the managers used to paint a rosy picture and used to say our team is hunky dory. This time it seems to be different.

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Post ID: @vn+1kq6d4166

@px Thank you! Can we get more people to state this?! All these rant postings are guesses from a comic book! Now if you have proof, then well I owe you an apology. That won’t happen though because you peasants like spreading BS! Last year! BS. 2024! BS. 2026! BS

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Post ID: @py+1kq6d4166

@pn OP, what’s the intent here? The timeline is stated, but the source and basis are not. Without that, this reads like speculation masquerading as insider knowledge. If there’s something actionable, share it. Otherwise it’s just noise.

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Post ID: @px+1kq6d4166

@pn sparing messenger is line sparking the devil! 😈 Your full of 💩 unless you come with proof

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Post ID: @pw+1kq6d4166

OP here. One year down the line, CX will be a lean org with clear three orgs.

  1. TAC- Serving All customers
  2. HTEC-HTTS+HTOM+HTE -Serving Signature Accounts
  3. CX(NOS/AS) serving signature accounts
  4. Many regional offices hosting CX will be gone.

You can shoot the message but please try to spare the messenger.

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Post ID: @pn+1kq6d4166

This could be true. A friend of mine from Ops reached out to me 2 weeks back aksing me about some tables/structures where MARKET_SEGMENT = 'SMB' i.e. Small and Medium Business is planned to be removed.

Technically Cisco is getting rid of this value from 100s of Ops tables. OP could be right. This is a requirement driven from some Ops Prod Mgmt team.

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Post ID: @pk+1kq6d4166

@OP This is BS! It’s not even close to true. I know this for a fact! Don’t ask for proof as OP and everyone else on here are spreading BS without proof.

Just like the same BS going around about Liz cutting CX due to Cisco IQ failing when she just sent out an email of all the great work that’s come out of Cisco IQ and is now in GA. Cut the BS spreading OP!

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Post ID: @p0+1kq6d4166

@he > why so slow? Why not do all the cuts in one go?
Because hacking into the heart of a business is hard - it's not like taking the dog outside to shoot it. You need time and effort to make it happen.
The rumours I'm hearing basically line up with the OP.

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Post ID: @mx+1kq6d4166

@OP Op you sound like an insane fu--ing clown! 🤡. You deserve the 🤡 🥇!

Congrats 🎉 👏 for such a d-mb ignorant post!!!

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Post ID: @jx+1kq6d4166

@bt YOU DESERVE A MIC DROP! Op is a fu--ing insane 🤡!

💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯💯

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Post ID: @jw+1kq6d4166

@dn Clout 💩! You sounded smart in the first three sentences then it went down hill afterwards! Where’s your facts coming from 2024?! Sounds like. I could have went to AI and found this half of this old 💩 you’re spewing out here! None of this is truth! None of it! I can confirm that

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Post ID: @jv+1kq6d4166

@dq you are full of 💩! Where are any of y’all’s facts?! You all sound like a bunch of monkeys copying each others lame a-s no proof posts and reposting them with an extra word or two on top of it! No proof, no one gives a sh-t!

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Post ID: @jt+1kq6d4166

@gp agree with you! Sounds like OP overdosed on the wrong sh-t speaking like a mad man pist at the world! Like it or not OP, CX is here to stay 😎! It is what it is!

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Post ID: @js+1kq6d4166

@he why so slow? Why not do all the cuts in one go?
OP here, This time, The CX ELT focus is solely on margins. They want to get rid of all small time accounts which are operating in less than 50% margin figures. These are mostly enterprise customers and small SPs. There are existing contract obligations and cisco needs to respect it. Also these small customers still buy cisco gear and use the TAC. So the idea is to transfer them over to partner+ TAC service gracefully as their current contracts expire.
2027 August CX will be handling only signature accounts with less than less than 30% of current blue badges. This is the aim.

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Post ID: @j8+1kq6d4166

@dq why so slow? Why not do all the cuts in one go?

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Post ID: @he+1kq6d4166

They just ki-led the overseas side of CXC with LOTS of work moved to regions now.
the regions already took a hit losing contractors and the full time employees are now overloaded by taking over all the above work
How the F ...will they cut more ?
The OP id--t pulls percentages out of his rear, for the next 4 weeks in May
Then another id--t comes along and explains it will be over 1Y, gradual
And so on, the circus keeps going

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Post ID: @gp+1kq6d4166

LC should just retire and leave Cisco alone. Damage has been done , several executives have left

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Post ID: @gj+1kq6d4166

I have to laugh at the responses and know the OP does have a pretty good idea, numbers are pretty close too. The thought is that if a mistake is made chopping expenses, just hire some back at less money. There's people still unemployed from the last LR that I know and at some point bills have to get paid and people have to eat. LC has zero talent running successful organizations. Her job is fail and cut, rinse/repeat. It's not about making competent decisions. Fortunately for her all theatre VPs and directors are as incompetent so failure is pretty straight forward, but I digress. OP is pretty close.

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Post ID: @g7+1kq6d4166

Those who dont trust this post, look at the history of current CX SVP. Whichever BU she handled she raised it to the ground through series of layoffs. History is going to rhyme in CX. braze for impact!!!

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Post ID: @em+1kq6d4166

We are overdue for CX cutting anyway. We have far too many people that don't have real jobs.

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Post ID: @ej+1kq6d4166

@dn this is dressed-up obviousness: Cisco’s margin pressure and shift toward partner-led engagement are not exactly hidden insights.
The rest just reads like spewing gossip without a clear argument.

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Post ID: @dr+1kq6d4166

I can confirm this. The only variation is, this will happen in the next 12 months. It will be a slow pace layoff quarter by quarter starting from May 2026.In the next 12 months, one in every 3 CX employee will be out. Its sad but its a fact.

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Post ID: @dq+1kq6d4166

OP here. The current CX model is due for an overhaul. Those who were in the system for long enough, the current CX used to be known as AS and TS. TS-TAC used to be a high margin business. Almost 90% margins. AS used to be a low margin business ...roughly around 40%. Cisco had no choice to maintain AS because parters were not qualified enough to do major integration. The merger was done with good intentions. However the over all CX margin is around 50% right now.
As per ELT, there is huge margin pressure on cisco as an org. Their argument is:

  1. Most of the top line is the past few quarters have been coming from AI DC business. Which is essentially the UCS servers. This is a low margin business(because UCS is all about putting mother board and processor together).
  2. The price of Memory sticks have gone up drastically
    These two factors are eating into the bottom line(margins).
    So the crux of the story is, cisco is looking to cut even a dollar. The 75% red badge cut was part of it.
    Add to this, the fact that Liz promoted everyone in CX last year and teh cost has gone up.
    Also The enterprise business of cisco is in complete disarray. (Two VPs of enterprise business in APJC took sebatical to look after their families in the last 6 months and vanished)
    As a culmination of all these, Liz and ELT have decided to bring the margin figures to around 70% whatever it takes.
    As a first step, they are trying to get rid of all HTEC accounts that are functioning with just HTOMs- The idea is no get all those accounts transfered to partners with just TAC support from cisco.
    One year down the line there will be cisco TAC, HTTS and CX handing signature accounts.
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Post ID: @dn+1kq6d4166

All he wants to hear is that someone knows more than he does and that someone is going to tell him that no, it is going to be like this or like that
Medication is expensive these days to this (posting cr-p here) is another way to deal with your anxiety.

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Post ID: @d9+1kq6d4166

@OP how did you get this info? How do you know if it's true?

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Post ID: @c0+1kq6d4166

OP, do you have an extra chromosome? Most of Cisco's business has always been through partners, and only the biggest/most important customers get to deal with Cisco direct. If some twit of a leader previously decided to expand Cisco's CX business to smaller accounts, that's the anomalous decision that should be judged harshly. What you're describing is a correction back to status quo, which is welcomed.

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Post ID: @bt+1kq6d4166

This seems false.

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Post ID: @br+1kq6d4166

Where’d u hear this? Why would giving away to partners be smart lmao - direct services su-k w partners most of the time

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Post ID: @bb+1kq6d4166

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