Nortel Files Bankruptcy, Technology Sector Suffers More Job Losses

Nortel Networks has filed for bankruptcy and is expected to experience massive job losses as it “undertakes a comprehensive business and financial restructuring.” As the recession wave hits the technology sector, behemoth technology firms are now next in line to face bankruptcy.

First it was the real estate foreclosures, then the banks faced bankruptcy, and the automakers teetered on the edge of complete collapse, now it seems that certain companies in the technology industry are set to be culled by bankruptcy and shrinking profits.

Analysts are looking at Intel, Nvidia and Motorola as possible victims of bankruptcy and/or job losses as credit markets and consumer spending, on not just a national level; but an international level contract drastically.

Motorola has already announced another 4,000 job losses and that’s in addition to the 3,000 job losses they experienced last quarter. Many had hoped that the technology sector would be insulated form heavy damage as other sectors experienced bankruptcy and job losses; but it appears that was wishful thinking at best.

The real fallout in the technology sector may actually come AFTER Google, Microsoft, AMD and Apple release their earning reports next week which many fear will be worst than expected.

By | 2017-12-13T02:04:57+00:00 January 20th, 2009|High-Profile Bankruptcies|Comments Off on Nortel Files Bankruptcy, Technology Sector Suffers More Job Losses