Yes, There Are Layoffs Pending at HP’s Autonomy Unit in the U.K.
There are layoffs coming at Hewlett-Packard’s U.K.-based Autonomy software unit, but not quite so many as a report in the Daily Mail suggests.
That newspaper reported today, in a thinly sourced story, that as many as 200 people were due to lose their jobs at the British software subsidiary in a shake-up expected soon.
Sources familiar with the company’s plans tell AllThingsD that the number of jobs expected to be cut is actually fewer than 70; the cuts will focus on sales personnel, all of whom were originally hired prior to HP’s acquisition of the company. Additionally, the job cuts were put in motion in September, well before HP made public its intention to write down the value of Autonomy by about $5 billion. Layoffs in European countries, like those in the U.K., are more complicated to carry out, and so take months to complete.
In explaining the writedown, HP, which paid north of $11 billion for Autonomy in 2011, alleged that the British company’s executives essentially cooked the books in order to make Autonomy appear more valuable than it was. It has reported its findings to the U.S. Securities and Exchange Commission and the U.K.’s Serious Fraud Office.
Mike Lynch, the founder and former CEO of Autonomy, has rejected HP’s allegations, and accused it of mismanaging the company after the acquisition closed.
- More From Mike Lynch: HP’s Autonomy Accusations Are Getting Weaker
- Mike Lynch Punches Back at Today’s HP Filing: Whither $5B Writedown?
- HP Confirms DOJ Is Investigating Alleged Fraud in Autonomy Deal
- Yes, There Are Layoffs Pending at HP’s Autonomy Unit in the U.K.
- Former HP CEO Shifts Blame for Autonomy Deal to Chairman
- Dell Passed on Autonomy Before HP Bought It
- Why Mike Lynch Is Playing PR Hardball With HP
- Autonomy Founder Lynch Asks Board to Explain HP Allegations
- Autonomy Founder Lynch Blames Accounting Standards in HP Flap
- The Red Flags That Were Obvious — To Some — In the HP-Autonomy Deal
- Oracle’s Ellison Vindicated in Autonomy PR Flap by HP’s $8.8 Billion Writedown
- Autonomy Founder Mike Lynch Rejects HP Charges, Alleges Mismanagement
- What Exactly Happened at Autonomy?
- HP Explains Its $8.8 Billion “Oops”
- HP Beats Street Amid Sales Declines, Takes $8.8 Billion Charge
- HP Names Microsoft Exec Robert Youngjohns to Run Autonomy
- Search Under Way at HP for Autonomy’s Next Chief
- Autonomy’s Mike Lynch Talks About Being HP’s Speedy Tiger Cub (Video)
- Britain’s First Software Billionaire Now Reports to HP CEO Meg Whitman
- Oracle Launches Exalytics Machine, Probably Ending Spat With Autonomy
- Autonomy: When All Else Fails, Blame the Bankers
- Mike Lynch to Oracle: Oh, You Mean Those Slides
- Oracle: You Have a Very Bad Memory, Mr. Lynch
- HP Reportedly Close to $10 Billion Buyout of Autonomy, PC Unit Spinoff
- Will Oracle and Microsoft Bid on Autonomy?