Cisco said on Monday that it would cut 6,500 employees. Of those, 2,100 employees will take early retirement.
The company also plans to sell its manufacturing facility in Juarez, Mexico, to Foxconn and transfer 5,000 employees to the contract manufacturing company as part of the deal.
Analysts had predicted thousands of job cuts after Cisco said in May that it planned to reorganize the company which has been losing ground in the network equipment business. The company announced more cuts than some analysts expected.
The job cuts will result in pre-tax restructuring charges "not expected to exceed $1.3 billion over several quarters," the company said.
(Reporting by Sinead Carew. Editing by Robert MacMillan)
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