Qualcomm fires 25% of Israeli development team - TheStreet

Qualcomm (Nasdaq:QCOM) (QCOM) - Get Report has recently fired 30 workers from its Israeli research and development outfit, TheMarker has learned.

The company, which makes code division multiple access integrated circuits and software for mobile, voice and data communications, said that the cuts, across all divisions, are due to drop in activity and the volume of projects.

The Haifa-based branch declined to confirm how many of its 130 workers were fired, but said that wages have not been cut.

The cellular chip bellwether reported with its Q2 results that 2002 growth outlook is not as rosy as it had hoped just two months earlier, lowering projections to 4-8% for the year from 5-15%. The company also lowered projected proforma EPS to 90-95 cents from 90-97 cents per share.

Lay-offs in mission critical activity like develoment usually follows major cuts in less crucial areas. Qualcomm has not announced any major downsizing moves recently.