October 21, 2008
Yahoo! released its Q3 earnings numbers today, and along with it announced plans for a significant headcount reduction by year’s end. Yahoo! currently employs about 15,200 employees. What is interesting is that even before these layoffs take place, Jerry Yang, Yahoo’s CEO, left the door open for additional cuts by indicating that “This is the first step in a longer term effort that will last into 2009 and beyond.”
In a separate interview, Blake Jorgensen, Yahoo’s CFO said that “We are going into what is very clearly a recession mode.” Yahoo’s layoffs come on the heels of an announcement by Ebay that it will be cutting about 1500 employees.
Jerry Yang also indicated in an internal email today that the company is seeking to cut costs elsewhere through relocation of employees and a consolidation of facilities. Yahoo! occupies millions of square feet of Silicon Valley office space. It maintains headquarters facilities in Sunnyvale on the north side of 101, and also occupies two seperate Sobrato projects at 101 and Great America Parkway and Mission College Blvd. In addition, Yahoo! purchased approximately 50 acres of land in Santa Clara a few years ago with the intention of developing a campus where it could consolidate all of its Silicon Valley operations. It’s very likely any plans they had for that land will continue to be shelved for some time to come.
- Yahoo!, Silicon Storage, Marvell, Opvista Layoffs
- Yahoo Layoffs Begin; Estimated 1500 To Lose Jobs This Round
- Silicon Valley Layoff Announcements
- Electronic Arts Cuts 1100; Panasonic 15,000
- Bank of America Announces Job Cuts; 35,000 Over Next 3 Years