Linked by Eugenia Loli on Sun 23rd Oct 2005 03:27 UTC
Novell and Ximian Novell is expected to initiate a major round of layoffs that could cut 1000 or more jobs in an attempt to restore the server software company's financial strength, according to employees familiar with the plan.
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Short-Sighted Investors
by dekernel on Sun 23rd Oct 2005 15:18 UTC
dekernel
Member since:
2005-07-07

I ready about this earlier, and I just love the fact that the layoff is driven by the investors looking for Novell be more "inline with investor's view".

Now they are going to layoff engineers who most like would be working on the next generation products. Yes, the same projects that would be driving the bottom line in a fews years. Since Novell won't have those new products to add to the product line, sales will again decrease. See above.

I might be too cynical here, but I have seen this trend time and time again with the same results.

Reply Score: 1

RE: Short-Sighted Investors
by on Mon 24th Oct 2005 05:04 in reply to "Short-Sighted Investors"
Member since:

you hear these comments again and again, gee, if only the investors would grant the engineers infinite time and infinite funds...don't they know they are "engineers!!" and therefore morally perfect and incapable of failure once given free reign?

i used to make these arguments early in my engineering career as well until i realized the developers are just as capable of peeing away resources as the "PHBs". investors have granted novell two+ years now to show something for the linux investment and i think its fair that they be shown at least some change in direction in the revenue stream. it doesn't seem to be there.

there are hundreds of tech companies who will gladly sell stock to investors. thousands of mutual funds. dozens of linux firms. in an environment like this you can't have an expectation of perpetual patience.

Reply Parent Score: 0