NetApp’s CEO, George Kurian recently released a statement confirming a new series of NetApp Layoffs that will hit the company‘s SolidFire technology business. This happened during the Q/A period of NetApp’s first fiscal quarter 2021 conference call. Moreover, the report also confirmed NetApp reorganization of a 5.5% workforce. This decision mostly affected business areas that are not part of the company’s go-forward priorities.
Kurian said, “You know, these headcount reductions are never easy to make,” he said. ”And we take care and consideration when we decide to make those changes. Those changes were driven by the strategic alignment and focus that we have to prioritize our resources in the core storage systems and software business, as well as accelerating our public cloud services business”.
Mike also confirmed changes to HCI and SolidFire business. “SolidFire, yes, I can confirm was part of the team that was impacted,” he said. ”We are narrowing our focus with the SolidFire and HCI portfolio to the high-margin parts of the market as we have signaled on prior calls”.
NetApp channel partners said despite the situation due to COVID-19, they are not shocked to see the changes in the IT industry. VP John Woodall, General Datatech, based in Dallas and NetApp channel partner said “The pandemic is bringing inescapable changes to nearly everyone, and businesses, in particular, are shifting their spending to the cloud”. We‘re seeing a potential re-allocation of expertise at NetApp and While cuts are painful, we’re seeing it as part of a shift to the cloud.”
Another NetApp’s partner World Wide Technology global practice manager Brent Collins released a statement stating “The nature of the IT industry is continual innovation and disruption”. “Our customers have had great experiences with NetApp SolidFire based products and solutions, and we look forward to working with NetApp to continue this track record of success,” Collins told CRN. Read more.