Alcatel SA and Siemens AG, two of Europe’s biggest manufacturers of telecommunication equipment, continue to axe jobs to lower operating costs amidst a downturn in the communications sector.

Siemens will cut almost 700 jobs at its German production facilities in Greifswald and Bruchsal, which manufacture ISDN (Integrated Services Digital Network) and DSL (digital subscriber line) equipment, a company spokesman said on Wednesday.

“We are responding to weak market demand with these job cuts,” he said.

In April, the Munich supplier said it would cut 6,500 jobs in its networking division by the end of next year.

Also on Wednesday, Alcatel announced plans to step up its restructuring efforts to the tune of