By Ines Ferré
Publication Date: 2026-05-14 11:52:00
What happened: Cisco (CSCO) stock jumped more than 13% on Thursday.
What’s behind the move: Shares of the networking giant rose after the company issued a stronger-than-expected revenue outlook and cut thousands of jobs as it sharpens its focus on artificial intelligence.
Cisco’s fiscal fourth quarter revenue outlook of $16.7 billion to $16.9 billion came in well above Wall Street expectations of roughly $15.8 billion.
CEO Chuck Robbins said the workforce reductions are part of a broader effort to position Cisco for the AI era. The layoffs are expected to impact fewer than 4,000 employees, or under 5% of the company’s workforce.
What else you need to know: Cisco’s stronger-than-expected outlook and restructuring announcement highlight the growing number of tech companies leaning into the booming AI boom, incorporating AI tools into their workflows and product offerings.
Cisco is revamping its product lineup and rolling out new offerings to support data…
