Rackspace has confirmed layoffs that span roughly 200 staff cuts worldwide. Still, the cloud-focused MSP (managed IT services provider) for Amazon Web Services (AWS), Microsoft Azure and Google Cloud Platform (GCP) has roughly 6,600 employees and is hiring in growth markets, so the job cuts appear very targeted in nature.
Rackspace, a Top 100 Public Cloud MSP headquartered in San Antonio, Texas, confirmed the targeted cuts in a statement to a local FOX News affiliate. But the company also emphasized that its business is stable and profitable — backed by more than 1,500 hires in 2018 and 200 additional positions open on its website.
Rackspace, like many IT companies these days, appears to be rebalancing its workforce from time to time — cutting headcount from slow-growth or shrinking product lines, while doubling down on faster-growth areas like cloud services, security, machine learning and artificial intelligence.