SCO cuts jobs, cites effort to bolster Unix business

The SCO Group Inc. cut a small number of jobs in the last week of April in an effort to prod its Unix products group to profitability, according to a company spokesman.

Although SCO spokesman Blake Stowell declined to say exactly how many workers lost their jobs, he said it was less than 10 per cent of the 275 people employed by the Lindon, Utah-based company at the end of last month.

The cuts were made in every area of the company, including marketing, sales, administration and engineering, Stowell said.

“The reason (for the cuts) is because the company is trying to help its core Unix business be profitable by the end of our third quarter this year,” Stowell said. “In order to gain that profitability, some minor cutbacks were necessary.”

Stowell said the layoffs weren’t prompted by BayStar Capital, one of SCO’s largest investors. Last month, BayStar, which is looking for a way out of its US$20 million investment in the Unix company, demanded that SCO change its top management and drop its Unix business.

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