Siebel Cuts 800 Jobs, Plans to Close Sales.com Despite Strong Q1

Share this content:
Siebel Systems, the customer relationship management software giant, dropped 800 employees late Wednesday and said that it would shut down its Sales.com subsidiary despite seeing its first-quarter 2001 net income more than double over the same period last year.


The San Mateo, CA-based company cut more than 10 percent of its 7,400-employee work force and predicted a softer market for its applications this year. The company also eliminated executive bonuses and cut salaries by 20 percent for senior vice presidents and above.


In a letter to customers, Siebel also said Sales.com, a Web-based sales force automation service that Siebel had tried to spin off as a separate company, would cease operations June 30. Tom Siebel, founder and chairman/CEO of Siebel, said the company was making necessary moves to continue delivering profits despite the weak economic environment.


The news came despite a banner first quarter for Siebel, in which net income rose to $76.9 million this year from $35.3 million during first quarter 2000, an increase of 118 percent. Income growth was driven by new business from several clients, including AT&T Wireless, Lufthansa Cargo and IBM.


Loading links....
close

Next Article in Data/Analytics

Sign up to our newsletters

Company of the Week

We recently were named B2B Magazine's Direct Marketing Agency of the Year, and with good reason: We make real, measureable, positive change happen for our clients. A full-service agency founded in 1974, Bader Rutter expertly helps you get the right message to the right audience at the right time through the right channels. As we engage our clients' audiences along their journey, direct marketing (email, direct mail, phone, SMS) and behavioral marketing (SEM, retargeting, contextual) channels deliver information relevant to the needs of each stage. We are experts at implementing and leveraging marketing technologies such as CRM and marketing automation in order to synchronize sales and marketing communications. Our team of architects and activators plan, execute, measure and adjust in real time to ensure the strategy is working as needed and change things if it's not.

Find out more here »

DMN's Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here