Leadership is the main issue with both companies. Yahoo is searching for its seventh CEO since 2007 and already has told 2,000 of its 14,100 employees, or about 14 percent, they’ll need to move on. HP is on its third CEO in two years and is now looking at laying off between 25,000 and 30,000 of its 349,600 employees, a reduction of about 8 percent of its workforce.
If HP does this, it will be one of the top 10 largest rounds of layoffs in the history of the IT business, according to outplacement firm Challenger Gray & Christmas.
Both companies are defending themselves against previously unheard-of global competition on all flanks. HP is being challenged in all the markets in which it see its future: servers, enterprise software, storage, networking, cloud computing goods and services, personal devices–even printers and ink, two of the ...