Jun 4, 2003 : C&W Announces Job Cuts, U.S. Exit Plans

📅 June 4, 2003 - Cable & Wireless (cw.com) ended weeks of speculation today as it announced its intentions to completely exit the U.S. market and cut 1,500 jobs after revealing its year-end earnings report that saw the company post a £6.5 billion loss.

Cable & Wireless broke into the Web hosting and telecommunications market in the U.S through an aggressive acquisition strategy. However, both segments of the U.S. operations have continued to incur heavy losses on the company and it has been rumored for weeks that newly appointed CEO Francesco Caio would make official the company's intentions to dump the loss-making divisions.
Caio said that in light of the restructuring rampant in the Web hosting industry, ?we don?t believe we could ever get to a position of adequate return on our investment.? As a result, ?we are out of that business.?
The company is expected to face difficulties finding buyers for its U.S. interests. There are currently no definitive plans in place, but Caio said it is considering all options to divest itself of its U.S. operations.
While no time frame has been set, ?there is a desire to implement it as quickly as possible,? said Caio.
The jobs cuts are expected to lead to a reduction of approximately 1,500 jobs over an 18-24 month period.
Cable & Wireless' recent restructuring efforts are part of its overall strategy to increase focus on IP solutions, hosting and Web services.

Reads: 1646 | Category: General | Source: TheWHIR : Web Host Industry Reviews
URL source: http://www.thewhir.com/marketwatch/cw060403.cfm
Want to add a website news or press release ? Just do it, it's free! Use add web hosting news!

Other news

📅 Jun 3, 2003 - VeriSign Names New VP Strategic Develop. - VeriSign Inc. (verisign.com) announced yesterday that it has named Chris Parsons as vice-president of strategic development. "Chris Parsons' experience at the leading global telecommunications companies coupled with his in-depth understanding of IT will provide unlimited vision to VeriSign's strategic development agenda and assist VeriSign in building the framework for the future of intelligent networks," said Stratton Sclavos, president and CEO of VeriSign. Prior to joining VeriSign, Parsons was senior vice president of strategy, alliances and business development for BellSouth. Before joining BellSouth, Parsons enjoyed a 10-year career at MCI Systemhouse where

📅 Jun 3, 2003 - Watchfire Enters Web Site Analysis Partnership - Watchfire Corporation (watchfire.com), a provider of Web site management software and services, announced today a partnership with The Paciello Group (thepaciellogroup.com), a consulting firm based in New Hampshire. Under the partnership, The Paciello Group will exclusively use Watchfire's AccessibilityXM for its Accessiblity Audit practice, while Watchfire will utilize TPG's consulting services to complement its technology offerings. AccessibilityXM scans subject Web sites for over 90 comprehensive accessibility checks, providing detailed reports on their accessibility in accordance with guidelines outlined in Section 508 of the World Wide Consortium (W3C) Web Co

📅 Jun 3, 2003 - Noscito to Colocate at Telecity Facility - TeleCity (telecity.co.uk) announced today that network monitoring specialist Noscito (noscito.com) will locate its first European service site at the TeleCity facilities in London's Docklands. Noscito is planning to use the facility to launch a line of pay-as-you-go monitoring solutions that enable customers to monitor the quality of their IT and Web-based infrastructure from a remote location. ?TeleCity was the ideal place from which to launch our services in Europe. Their facilities are well connected, well managed and offer excellent opportunities in terms of the diverse and increasing range of customers present," said Paul Kershaw, co-founder of Noscito.

📅 Jun 5, 2003 - VeriSign Names New Executive VP - VeriSign, Inc. (verisign.com) announced today that it has named Vernon Irvin as executive vice-president of VeriSign's Telecommunication Services Group. Prior to joining VeriSign, Irvin was employed with American Management Systems (AMS) where he was the executive vice president and general manager of the Global Communications, Media, and Entertainment practice. Before AMS, Irvin was at BT Ignite, the broadband and Internet services business of British Telecommunications plc (BT), where he held several executive positions. "VeriSign is unique in that no other company has the combination of Internet and telecommunications offerings that carriers, services providers

📅 Jun 5, 2003 - PDG Software Releases E-com Solution - PDG Software (pdgsoft.com), a provider of e-commerce and shopping cart solutions, announced today the release of PDG Commerce 2003, an enterprise level e-commerce solution for Web merchants. The new product is armed with all features offered within PDG Shopping Cart in addition to a variety of new functionalities that include the ability to utilize commercial database systems, application compatibility, point of sale software, and fulfillment services. According to the company, the new capabilities are designed to help enterprises implement more sophisticated functionality and further automate the process of maintaining an e-commerce site. "PDG Commerce 2

📅 Jun 5, 2003 - MS Releases Windows Server 2003 Patch - Microsoft (microsoft.com) announced Wednesday that it has issued a security patch for Microsoft Internet Explorer versions 5.01, 5.5, 6.0 and 6.0 for Windows Server 2003. Earlier versions of the Internet Explorer browser are not affected. Microsoft urges all users to install the patch immediately. If compromised, the vulnerability would allow an attacker to implement various malicious activities including taking over a user's system. The patch is the first issued for the recently launched Windows Server 2003 ? the company's new server platform that has been touted as one of its most secure products ever. Microsoft is based in Redmond,