Californian software company Siebel Systems has warned that its second quarter profit will fall short of forecasts and has said that sales of its software fell 35% due to the postponement of purchases by customers.
The company said it plans to cut costs further and restructure its operations.
During the past year Siebel has cut the number of its employees by 1,600 and its total now number around 5,600.
It has said it's restructuring this month and it aims to reduce its cost structure so that it will have operating margins of 15% at its current revenue level. Analysts estimate that this will mean that around 1,000 staff will lose their jobs.
In Ireland, Siebel has an operation in Galway where part of its Technical Services staff are located.