BlackBerry plans layoffs, ‘on track’ for separation of businesses

BlackBerry Ltd.
BB,
+0.36%
said Monday that it plans to cut more jobs in its cybersecurity business as part of the company’s push toward profitability. The cuts are a major piece of BlackBerry’s ongoing plans to separate its Internet of Things and cybersecurity businesses as standalone divisions and reduce annual costs by about $50 million. The actions are largely focused on the cybersecurity business and approximately 200 layoffs that will generate annual savings of around $27 million. As part of the austerity program, BlackBerry said it has exited six of its 36 global office locations, including San Ramon, Calif., which are expected to shave $7 million. The company expects to lower operating cash use in the current fiscal year and anticipates being operating cashflow positive by the fourth quarter of fiscal 2025. Shares of BlackBerry have plunged 33% over the past 12 months.