https://www.channelfutures.com/wp-content/themes/channelfutures_child/assets/images/logo/footer-new-logo.png
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Master Agents
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity & Inclusion
  • MSSP Insider
  • MSP 501
    • Back
    • Apply Now
    • 2020 MSP 501 Rankings
    • 2020 Hot 101 Rankings
    • 2020 MSP 501 Report
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • Videos
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
    • Channel Educational Series
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
    • Channel Convergence
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Content Resources
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • Excellence in Digital Services
    • Top Gun 51
  • Events
    • Back
    • CP Conference & Expo
    • Channel Evolution Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • DE&I
Channel Futures
  • NEWSLETTER
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Master Agents
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity & Inclusion
  • MSSP Insider
  • MSP 501
    • Back
    • Apply Now
    • 2020 MSP 501 Rankings
    • 2020 Hot 101 Rankings
    • 2020 MSP 501 Report
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • Videos
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
    • Channel Educational Series
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
    • Channel Convergence
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Content Resources
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • Excellence in Digital Services
    • Top Gun 51
  • Events
    • Back
    • CP Conference & Expo
    • Channel Evolution Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • DE&I
    • Newsletter
  • REGISTER
  • MSPs
  • VARs / SIs
  • Agents
  • Cloud Service Providers
  • Channel Partners Events
 Channel Futures

Telephony/UC/Collaboration


Citrix Planning to Cut 1,000 Jobs, Spin Off New Company

  • Written by James Anderson
  • November 18, 2015
Citrix says it will cut 1,000 jobs and spin off its GoTo business in an announcement that follows criticism from a major investor.

Citrix says it will cut 1,000 jobs and spin off its GoTo business in an announcement that follows criticism from a major investor. The company calls it an effort to simplify operations and “[focus] on our core strengths.”

The “elimination” of 1,000 full-time workers and contractors is part of Citrix’s plan to save $200 million. Most of the layoffs will occur this month and in January. The 1,000 number doesn’t take into account the employees that will be departing for the GoTo spinoff.

The spinoff – expected to wrap in the second half of 2016 – would create a publicly traded company in which Citrix shareholders would own shares. Citrix explained in a news release that spinning off the business was a tax-free way to adopt “more quickly to the SaaS market.”

“This separation will create a leading, pure-play SaaS company that will have a targeted focus with the flexibility to invest in its portfolio of products,” Citrix CEO Bob Calderoni said. “It will also allow Citrix to refocus and amplify investment in our core mission to enable secure and reliable delivery of apps and data for the modern enterprise. We look forward to a seamless transition for our employees, customers, partners and other key stakeholders.”

Citrix's Chris HylenPrograms in the GoTo family include GoToAssist, GoToMeeting, Grasshopper and OpenVoice. Citrix has tapped Chris Hylen – senior vice president of the Citrix Mobility Apps Business Unit –­ as CEO of the yet-to-be-named company.

“We are building on a strong base of offerings and look forward to creating even more value for our employees, customers and shareholders,” Hylen said.

Citrix said it will be increasing its emphasis on “core enterprise products for secure and reliable application and data delivery,” with examples including XenApp, XenDesktop and NetScaler.

Citrix has faced pressure this year to increase its margins.

Elliot Management Corp., a shareholder accounting for 7.1 percent of Citrix, criticized the company in an open letter in June. The investor praised some of Citrix’s products but pointed to operational expenses that “outpace revenues.”

“Citrix’s cost structure is the result of years of layered complexity and expenses. The structure has become highly inefficient in terms of actual cost and is also ineffective at generating revenue growth,” the letter read.

Three major points of weakness, according to Elliot, were underperforming sales and marketing; overly speculative research and development; and several distracting product lines.

Elliot said Citrix’s channel efforts were “stretched across too many channel partners” and directed to “sub-scale partners.”

“We are confident all of these issues are fixable through a full realignment to implement best practices in the areas of deal team composition, sales management span of control, channel management and compensation structure,” the letter read.

Tags: Agents Business Models Mergers and Acquisitions People on the Move Telephony/UC/Collaboration

Related


  • Telarus Vet Ends Short 'Retirement,' Will Lead PPT Solutions' Channel Sales Strategy
    PPT Solutions provides customer experience and contact center consulting services.
  • Convergence
    Convergence in the Channel: Is It Happening, and What Does This Mean for MSPs?
    Is IT-telecom channel convergence already happening? Do the two speak the same language? We explore the different sides.
  • Unleash
    Granite Unleashes Microsoft Teams Integration, Merged Voice Services
    Merged Voice helps partners pursue larger enterprise prospects, the company said.
  • Judge and Gavel
    Judge: Charter Must Pay Windstream $19 Million for 'Egregious,' Deceptive Mailer
    The judge said Charter "intentionally and wrongfully" interfered with Windstream's customer contracts and good will.

Leave a comment Cancel reply

-or-

Log in with your Channel Futures account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • Agents Voice Concerns, Hopes for Master Agent Consolidation
  • Flashback Friday: Images from the Last 20 Years in the Channel
  • Ujet, Peerless Network Enter Master Agent Agreements with PlanetOne, Intelisys
  • TBI Adds Rival Intelisys Alum, Tech Data, 8x8 Vets

Galleries

View all

10 Ways to Keep Customers Safe with Threat Protection by Year’s End

April 9, 2021

Industry Perspectives

View all

Why Every MSP Should Consider TCO When Selecting a BCDR Solution

April 9, 2021

6 Ways to Ready Your Customers for 5G Security Challenges

April 5, 2021

Endpoint Security Is Huge in the Merging New World of Work

April 2, 2021

Webinars

View all

Top 3 Intel Security Technologies To Help Against Advanced Cybercrime Attacks

April 15, 2021

What to Look For: 2021 Threat Report

April 22, 2021

Health Care and SD-WAN: A Seller’s Guide

April 27, 2021

White Papers

View all

Top Tips: How Resellers Can Leverage Rackspace to Enhance Customer’s Cyber Security Protection with Microsoft 365 Security

March 30, 2021

Top Tips: Optimize Your Microsoft 365 Investment with Rackspace Technology

March 30, 2021

The Smart Approach to Cloud Workload Placement Decisions

March 19, 2021

Upcoming Events

View all

Channel Partners Conference & Expo

November 1, 2021 - November 4, 2021

MSP Summit

November 1, 2021 - November 2, 2021

Channel Evolution Europe

November 30, 2021 - December 1, 2021

Videos and Fastchats

View all

FASTCHAT: How Fortinet Reduces Complexity Through Networking, Security

Strong Customer Experience Needs Strong Partner Experience

December 22, 2020

Happy Holidays from Channel Partners & Channel Futures!

December 21, 2020

2021 Excellence in Digital Services Awards App Open

December 9, 2020

Twitter

ChannelFutures

"Who could ask for more?? These guys bring an awesome energy and always highlight the need-to-know of the channel..… twitter.com/i/web/status/1…

April 10, 2021
ChannelFutures

Anti-Asian racism, and racism and discrimination of all forms, have zero place in our society. #StopAsianHate and t… twitter.com/i/web/status/1…

April 9, 2021
ChannelFutures

MSSP @inc_renaissance promotes Trish Kapos to channel chief. #cybersecurity dlvr.it/RxLQ6g https://t.co/oWCdHeRqIW

April 9, 2021
ChannelFutures

.@GetSpectrum ordered to pay @Windstream more than $19 million for deceptive mailer. #lawsuit… twitter.com/i/web/status/1…

April 9, 2021
ChannelFutures

.@Percona says channel can help with #opensource solutions and #databases for everything from aspirational to must-… twitter.com/i/web/status/1…

April 9, 2021
ChannelFutures

Our latest #Cybersecurity Roundup features @HuntressLabs on @Microsoft Exchange exploitation, @ptsecurity,… twitter.com/i/web/status/1…

April 9, 2021
ChannelFutures

.@SemperisTech unveils first branded partner program. #cybersecurity dlvr.it/RxH4Bq https://t.co/TVjG8xhGNv

April 8, 2021
ChannelFutures

.@PerchSecurity announces its 2021 MSP Threat Report, calling on MSPs to build a mature cybersecurity practice.… twitter.com/i/web/status/1…

April 8, 2021

MSSP Insider

Business advice for MSSPs and news from the broader security channel.

Newsletters and Updates

Sign up for The Channel Report, Channel Futures Update, MSP 501 Newsletter and more.

Live Channel Events

Get the latest information on the next industry-leading Channel Partners event.

Galleries

Educational slide shows and images from live events.

Media Kit And Advertising

Want to reach our audience? Access our media kit.

DISCOVER MORE FROM INFORMA TECH

  • Channel Partners Events
  • Telecoms.com
  • MSP 501
  • Black Hat
  • IoT World Today
  • Omdia

WORKING WITH US

  • Contact
  • About Us
  • Advertise
  • Newsletter

FOLLOW Channel Futures ON SOCIAL

  • Privacy
  • CCPA: “Do Not Sell My Data”
  • Cookie Policy
  • Terms
Copyright © 2021 Informa PLC. Informa PLC is registered in England and Wales with company number 8860726 whose registered and Head office is 5 Howick Place, London, SW1P 1WG.
This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
X