lay offs

[fun4vnay2]

http://www.bidnessetc.com/47606-qualcomm-inc-planning-massive-layoffs-4000-jobs-at-stake/

[Coronita]

I’ll believe it when I see it. These rumors come and go. I doubt its real because a WARN notice would have already appeared.

[Hatfield]

My sources say something big is about to happen but it’s not clear what yet.

[Coronita]

[quote=Hatfield]My sources say something big is about to happen but it’s not clear what yet.[/quote]

Yeah, it seems like all these sources are going from the same layoff rumor website….

[Hatfield]

No, my guy is on the inside. There’s all sorts of weird stuff going on and IOS is basically on lockdown.

[an]

A friend of mine who knows someone at the VP level there and is confirming that a layoff is in the works. Who and where is to be determined.

[livinincali]

Mobile hardware sales seems to have reached a saturation point. The only real hit device of the past year was the iPhone 6 and Apple pretty much pulled out that last remaining popular mobile feature out there with the bigger screen. Wearbales don’t seem to be gaining that much traction even after the initial iWatch hype.

QCOM is basically flat revenue wise for the past 4 or 5 quarters. It’s share price has been slowly declining for the last year of so. Doesn’t surprise me that they might be looking at options to grow earnings via cost cutting. It’s a mature company with it’s biggest source of revenue coming in the form of licensing. Rest on those patents and cash out those options baby.

[fun4vnay2]

The reason for lay off is cost cutting and layoffs would be done where the cost is most and jobs would be moved to lower cost center.

This is what I heard.

[Coronita]

I don’t know. I think the layoffs (if true) would have to do more with all the acquisitions they’ve made and overlap. Just looking at connectivity, they’ve bought at least 3 decent sized companies with huge overlap, and I’m guessing they must have at least 2 teams internally competing against each other to build similar products.

So I would think the bulk of the cuts will be thin out duplication from it’s CSR and Atheros and Wilocity, etc, etc, etc acquisitions. That’s 3 companies under their roof doing bluetooth, 3 companies under their roof doing wifi, not to mention all the other tiny companies they bought that aren’t even worth mentioning. So most of the cuts, I’m guessing will come out of the other locations such as the Bay Area. And I think the Bay Area job market is so good right now, it’s really not a big deal for those people that are impacted up there.

High end phones might be saturating, but low cost phones have yet to pick up in China. And Q’s in a pretty good position there relative to all the other players (MediaTek is #2, but it’s not even close.) They’ll probably see more margin compression on the low/mid end, but provided they can maintain an edge over MediaTek, I think they aren’t going away anytime soon. The name of the game there is volume.

Also, Q is cash-flushed, so I wouldn’t be surprised if these go on an acquisition spree, particularly in RF components, where the margins are pretty good.

If I were to bet, I’d say the bulk of the cuts are going to be from the acquistions, not in headquarters, and the cuts here in SD probably will be “for performance reasons” (whether that is really true or just to cut people with personality conflicts)

The bigger question I’m wondering is what Avago does it’s recent acquisition, particularly the connectivity group in SD. Oh well, not my concern…

[fun4vnay2]

the co has been doing performance based lay offs for last 1 year or so in an aggressive manner.
the company’s india office has grown drastically in the last 5 years.. from 1K to 9K head count.

of course when you do large acquisition, you need to reduce redundancy and that’d happen for sure… keeping cost in mind
my tenants are qcom employes and they wanted to buy houses ins d, but put that off for next few years as there is very little mobility in sd when it comes to sd
my previous tenant lost his job in qcom n had to relocate to bay are.
bay area is good for software jobs, but for rf engineers, it is stll a struggle..

[Coronita]

[quote=rockingtime]the co has been doing performance based lay offs for last 1 year or so in an aggressive manner.
the company’s india office has grown drastically in the last 5 years.. from 1K to 9K head count.
[/quote]

Yeah, well join the club…Every company that has an office offshore is expanding there. Particularly chip companies. Because chip companies are entering a stage of competing on cost and cost alone.

Like I said on the other thread, if you’re a software engineer that was working in the chip industry, get out…now…There’s much better opportunity elsewhere, and you aren’t going to make it as a software engineer in a chip company, because you are considered overhead.

[quote]
of course when you do large acquisition, you need to reduce redundancy and that’d happen for sure… keeping cost in mind
my tenants are qcom employes and they wanted to buy houses ins d, but put that off for next few years as there is very little mobility in sd when it comes to sd
my previous tenant lost his job in qcom n had to relocate to bay are.
bay area is good for software jobs, but for rf engineers, it is stll a struggle..[/quote]

My point was the bulk of these acquisitions happened outside of SD, as none of these companies are HQ’d here. There will be some fat trimming in SD, but imho layoffs locally are being overly exaggerated. That also includes overhead roles (marketing/sales/HR/support staff, etc).

Disclosure: I know nothing about what’s going on over there. Just speculating….So maybe you guys are correct. What I do know is that there seems to be a prevalent paranoia going on. One employer is not going to drastically impact housing prices, particularly since it seems like the other sectors are doing alright.

Unrelated question: if you don’t mind me asking, where is your rental and is it a SFH or attached? …I’m curious as to where it is and how the cash flow on it works out. When did you pick it up?…I’m curious where most of the Q employees live, and was just curious. Was the Q employee that got laidoff the only tenant you’ve had at your rental or have you had other tenants before, also from the Q…How many years did you get out of hime staying there?

Sorry to sound nosy. It’s just I’m trying to understand how the rental market works outside of Sorrento Valley, assuming your place isn’t in Sorrento Valley.

[fun4vnay2]

It’s all educated guess so far.

I have 2 SFRs in SR and they are small homes.
I usually prefer high quality residents and may even lower the rent for them.

I bought them in 2011/2012 and thinking about selling them off. I am + cash flow but not a lot. My tenants usually stay with me for years.

If you are targeting QCOM employees, Mira Mesa is a hot area with improving school district rating year over year.
Penasquitos is OK, SR is better but I think Mira Mesa is best

I’d wait for next correction to happen and buy in Mira mesa, an area I like most. Most of the blue collar people are getting pushed out of Mira Mesa as they are gradually cashing out and are filled in with qualified professionals..

[Coronita]

[quote=rockingtime]It’s all educated guess so far.

I have 2 SFRs in SR and they are small homes.
I usually prefer high quality residents and may even lower the rent for them.

I bought them in 2011/2012 and thinking about selling them off. I am + cash flow but not a lot. My tenants usually stay with me for years.

If you are targeting QCOM employees, Mira Mesa is a hot area with improving school district rating year over year.
Penasquitos is OK, SR is better but I think Mira Mesa is best

I’d wait for next correction to happen and buy in Mira mesa, an area I like most. Most of the blue collar people are getting pushed out of Mira Mesa as they are gradually cashing out and are filled in with qualified professionals..[/quote]

Cool. Thanks for the info.. Dumb questions. What is SR stand for?

2011/2012 was a good time to buy. Did you pick them up at the courthouse, or were these traditional sales that were available at retail? I was looking in 2011/2012 too, and never bothered to pick up stuff at the courthouse because of my inexperience. Was just curious how you scored these homes…

[an]

SR=Scripps Ranch

[fun4vnay2]

short sale../
dont have any exp with court house pickings..,
i am just an avg joe..

[Author]

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