This afternoon, we shared the next e mail with Cisco workers.
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Group,
In the present day we introduced our Q3 FY26 earnings with file income of $15.8 billion, up 12 p.c yr over yr, and double-digit prime and bottom-line progress. The ELT and I couldn’t be prouder of the expansion you’ve gotten all delivered for Cisco.
These outcomes are much more spectacular given the advanced atmosphere we’re working in – a quickly altering market, with intensifying competitors, and a worldwide scarcity of elements important to assist our portfolio and the AI buildout from our clients.
The businesses that may win within the AI period shall be these with focus, urgency, and the self-discipline to repeatedly shift funding towards the areas the place demand and long-term worth creation are strongest. I’m assured Cisco shall be a kind of winners. This implies making laborious selections – about the place we make investments, how we’re organized, and the way our value construction displays the chance in entrance of us.
With this, we’re making adjustments as we speak that may end result within the discount of our total workforce in This autumn by fewer than 4,000 jobs, representing lower than 5 p.c of our whole worker base. Most notifications will start on Could 14 and proceed globally in alignment with relevant native legal guidelines and laws. For workers whose roles are impacted, leaders will share particulars instantly – together with timing, accessible assets, assist, and advantages in every nation. It will embody pro-rated fee of FY26 bonuses to impacted workers. We are going to present assist find new alternatives, whether or not inside or exterior, by Cisco’s placement companies – a program that has seen 75 p.c of individuals uncover their subsequent position. We’re additionally dedicated to continued customized studying and can present one yr of entry to all Cisco U programs and certifications, masking AI, Safety, Networking, and extra.
Whereas we’re lowering roles in some areas, we’re making clear, strategic investments – notably in silicon, optics, safety, and in our workers’ use of AI throughout the corporate. These investments are constructing from a place of energy – and specializing in the applied sciences and companies that may speed up our progress, ship unmatched innovation to clients and companions, and outline our future.
To these leaving Cisco, thanks in your contribution, your dedication, and the mark you’ve gotten made on this firm. We’re deeply grateful and are dedicated to dealing with this transition with the care, readability, and respect that defines our tradition.
For many who will proceed right here, we’ll talk about these adjustments and reply questions on the Cisco Beat on Could 21 at 8 a.m. PT.
We now have essential, impactful, and consequential work forward. Your focus, resilience, and management are important to our progress and relevance in FY27 and past.
Chuck and the Government Management Group
