Openwave Announces Job Cuts

Openwave, the company behind WAP browsers has announced that it is laying off four senior management level positions and reducing its worldwide staff by approximately 65 people - some 5% of the workforce. The senior management level positions affected include the chief marketing officer, chief administrative officer, chief operating officer and chief corporate strategy and business development officer. The duties and responsibilities of the senior management positions will be assumed by existing senior management in Openwave's field and product organizations.

"By taking these steps we will reduce the numbers of layers of management between our customers and our field and product organizations," said David Peterschmidt, CEO of Openwave. "This will enhance our capability to continue to provide our customers with the products and services that they require in a timelier manner."

Openwave will incur a charge of approximately US$8.5 to US$10 million to cover expenses related to these actions and other charges. Of the $10 million, approximately $3 to $3.5 million relates to non-cash charges for stock based compensation and accelerated depreciation of abandoned of assets.

The company had approximately 1,300 employees."

Posted to the site on 5th September 2006