Cisco axes 6,500 people -

Networking behemoth Cisco has put 6,500 people into the dole queue it said.

That follows a promise made earlier this year by CEO John "The Cisco Kid" Chambers that he would act to increase profitabilty at the already profitable firm.

Foxconn (Hon Hai) has also been a beneficiary of the axing, because Cisco has sold off a manufacturing unit in Mexico to the Taiwanese company. That factory employed 5,000 people but their jobs are, apparently, safe in Hon Hai's hands.

Cisco is also aiming to cull the ranks of senior people at the company but that doesn't appear to include charismatic CEO John Chambers.

Some of the people that are exiting Cisco took voluntary redundancy, and in all, the job cuts will cost the company $1.3 billion, spread over several quarters.

The restructuring is not quite done and dusted yet.