Cisco is preparing for another round of layoffs just weeks after reporting significant earnings growth.
The layoffs primarily affect workers in the San Francisco Bay area, according to reports from SFGate.
WARN filings, which businesses are required to file with state authorities ahead of job cuts, show 221 workers will be laid off as part of the move, with staff at two locations in the area impacted.
Employees were reportedly informed on 14th August, with roles formally terminated on 13th October.
Notably, a significant portion of job cuts affect staff in software engineering roles, accounting for 157 of the total.
Cisco layoffs come in wake of strong earnings report
The layoffs come in the wake of strong financial reports at the networking giant.
Cisco’s earnings report for the fourth quarter shows it recorded $14.7 billion in revenue, marking an 8% increase compared to the same quarter last year.
In total, revenue for the full 2025 fiscal year topped $56.7 billion, again marking an increase of 5% compared to the year prior. Earning from AI infrastructure and services were a key driver of revenue growth for the company this year.
Cisco CEO Chuck Robbins revealed the company’s AI infrastructure services segment reported $2 billion in revenue for the year, more than double its target.
"We delivered a strong close to fiscal 2025, driven by our accelerated innovation and solid execution," Robbins said in a statement at the time.
"The AI infrastructure orders we received from webscale customers in fiscal 2025 were more than double our original target, indicating a massive opportunity ahead as we lead the required architectural shift and build the critical infrastructure needed for the AI era."
This latest batch of layoffs pales in comparison to cuts made by the networking giant last year, which saw two rounds of staff let go. In August, the firm announced a restructuring plan to reduce its global workforce by 7%, equivalent to around 6,000 employees.
Cisco said the move aimed to lower costs and enable it to ramp up investment in “high-growth areas” - a common recurring theme at a host of tech giants last year.
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