PortalPlayer to Ax 14% of Workforce
PortalPlayer (PLAY) is throwing employees from the boat in an order to right itself.
The specialty chipmaker, which has been a key component maker for Apple's (AAPL) iPod digital music players, has laid off 45 employees, or about 14% of its total staff. The company expects to take a charge of $850,000 to $950,000 in its current quarter as a result of the restructuring.
But PortalPlayer expects the move to save it about $6 million to $7 million in expenses. That's not an insignificant amount for a company with net earnings of $48 million last year and just $10 million the year before.
The company's move is in response to Apple's
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