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SGI Announces Restructuring, Cuts 400 Jobs

Posted by ryuzaki0 on from the downsized-layoffs dept.

kerneljacabo writes "Yikes! SGI seems to be the lastest victim of the economic downturn. Today they announced an extensive 'restructuring,' which includes releasing about 10% (400) of their employess. Seems like no one is immune." SGI claims this'll save them $40M, as well as improve their performance next fiscal year.

1 of 310 comments (clear)

  1. Unix is a commodity now. by Martin+Marvinski · · Score: 5, Interesting

    Thanks to Linux, Unix is now a commodity and corporations must find a new way to add value. You can't keep expecting people to buy the same product year in and year out. Linux is a success because like any other product, eventually it becomes a commodity like textiles and companies cannot charge a premium for commodities.


    Software has the potential to be distributed almost cost free, and that demand for a commoditized Unix came in the form of Linux. Microsoft must commoditize Windows or else risk losing complete market share to Linux.


    This is why SGI is in trouble. Unix can now run on commodity hardware on a free Unix clone, Linux. What SGI needs to do is invest in research for the next business cycle and NOT FIRE EMPLOYEES. Doing so will hamper its chances for survival in the future.