By Tess Stynes
NetApp Inc. (NTAP) said it is streamlining its businesses,
including plans to reduce its global workforce by about 600
employees, in response to constrained spending on information
technology.
The data-storage company expects to post charges of $35 million
to $45 million related to the move, mostly during its fiscal fourth
quarter ending in April, according to a filing with the U.S.
Securities and Exchange Commission.
NetApp, on its website, said it has more than 13,000 employees
worldwide. A NetApp spokesman said the latest planned headcount
reduction is in addition to 900 job cuts announced last May as part
of an earlier plan to cut unwanted costs.
"IT organizations are in transition as they look to take
advantage of new technologies and delivery models to stay
competitive and keep pace with data growth," NetApp said in a
statement.
NetApp builds systems that store and manage clients' digital
information, a market that has wavered over the past year as
corporations' once-surging demand for storage hardware cools.
Companies are increasingly looking to use the public cloud for data
and workload management.
Write to Tess Stynes at tess.stynes@wsj.com
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