The Madeleine Brand Show for May 18, 2012

Struggling tech giant Hewlett-Packard to cut 30,000 jobs

HP Announces Massive Job Cuts

Justin Sullivan/Getty Images

An image of Donald Trump is seen above a message board that is announcing job cuts at Hewlett-Packard in Times Square on May 17, 2012 in New York City. Hewlett-Packard Co. announced plans to cut 25,000 to 30,000 employees as it deals with declining revenue and profits.

Just a few miles north of Facebook's headquarters in Menlo Park, a once storied and high-flying start-up is now struggling.

Next week, Hewlett-Packard is expected to announce layoffs with as many as 30,000 employees facing the cut, amounting to nine percent of H.P.'s workforce.

Founded in 1939 by two young engineers, Hewlett-Packard practically invented Silicon Valley. But for more than a decade, the company has struggled to define itself and its business.

With frequent turn-over in the executive suite, and in-fighting among its board of directors, the company has struggled to straighten the ship.

The layoffs mark the first major move since the appointment of Meg Whitman, who took over as CEO about eight months ago. Here to discuss the company's flagging fortunes is Aaron Ricadela of Bloomberg news.

Guest:

Aaron Ricadela is a technology reporter with Bloomberg news.


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