Good grief, mistake follows mistake!
14 replies (most recent on top)
Maybe Hock will sell or close some BU soon. I bet PWI, the Netlogic guys.
You're all kidding yourselves if you think cuts are not coming. There's no way you get to reduce a margin so substantially without cuts, and headcount is the easiest and most expensive part of any company.
Most of the cuts that has to happen has been completed is my guess. The R&D budget is a complex issue - whether you are referring to Central Engineering or R&D within BUs. I don't think there will be more significant cuts going forward except those are already on transition. Many in Central Engineering are on transition. So you will see reduction in R&D budget from quarter to quarter. Now it is BUs to manage their own budget and CEO may not interfere as long as they are delivering as per expectations. Cuts may happen if revenue falls or transition employees might be absorbed if revenue increases.
R&D budget from 40% --> 13%, means slash 2/3 of current budget.
The writing is on the wall: slash R&D cost by 1/3, which means 1/3 engineers will be let go
This round is supporting function. Next is BU. It's step by step to cut the RD cost from 38% of revenue to 25%.
It's just the beginning...
Storm just blew away. No significant damage - at least in Engineering. Hopefully everyone is back to normal business
So much speculation, I think we're in the eye of the storm. But in truth, none of us ever had security. We can blame Hock, or the acquisition, or the new culture, but in truth, Broadcom has always been about business, ask the mobile group what happened to them...
by selling to somebody else
How does Hock plan to cut Engineering R&D budget from 40% to 13%? I can only think of one way. You?
when is end of Q2?
Very strange, not much cuts. I'm sure end of Q2 it will happen