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29/08/2001
Gateway is set to cut workforce by a quarter
Computer maker Gateway is set to shed 6,600 staff and close key operations outside the US in a radical restructuring of the company’s business.
The radical cutback follows the company’s poor performance that has seen losses amounting to $9m in the second quarter of the year as sales around the world dwindled.
The company will now close its arms in Malaysia, Singapore, Japan, Australia and New Zealand in order to focus on its core business in the US. In addition, Gateway is to decide within the next 30 days whether to ditch all its European operations.
The firm has also suffered from weak demand and an intense price war with its rivals such as Compaq and Dell.
The shedding of 6,600 jobs represents 25 per cent of the company’s overall workforce. (MB)
The radical cutback follows the company’s poor performance that has seen losses amounting to $9m in the second quarter of the year as sales around the world dwindled.
The company will now close its arms in Malaysia, Singapore, Japan, Australia and New Zealand in order to focus on its core business in the US. In addition, Gateway is to decide within the next 30 days whether to ditch all its European operations.
The firm has also suffered from weak demand and an intense price war with its rivals such as Compaq and Dell.
The shedding of 6,600 jobs represents 25 per cent of the company’s overall workforce. (MB)
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Gateway to shut down operations throughout UK and Ireland
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Consignia reported to be close to insolvency
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Consignia reported to be close to insolvency
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