Seagate To Axe 1,600 Employees
Seagate says that the savings generated from these restructuring activities will be recognized beginning in the September 2016 quarter and will represent approximately $100 million in savings on an annual run rate basis, impacting cost of revenue and operating expenses favorably by approximately $48 million and $52 million, respectively.
Seagate's revenue declined in the past five quarters due to weak demand from original equipment manufacturers, including personal computers makers.