When we talk about the tech and global communications world, change is the only constant. Recently, Viasat layoffs have been a thing of concern to everyone – both industry watchers and the employees of the company.

Last year, Viasat, a global communications company, made headlines when it announced the layoff of 800 employees, a significant 10% of its workforce. This decision came on the heels of the company’s acquisition of Inmarsat, marking a pivotal moment in its history.

Because of this history of layoffs, many people have been on their toes wondering if there would be another round of Viasat layoffs again this year.

If you’re curious about what’s going on with Viasat and what might lie ahead, we encourage you to keep reading. We will take a closer look at the subject and bring to you everything we know about it.

First, a Closer Look at Viasat

Before we dive into the nitty-gritty of Viasat layoffs, let’s get to know the company a little better. Founded in the late 20th century, Viasat has grown from a small startup to a major player in the communications industry, boasting a workforce of 6,800 employees as of March 31.

Known for its high-speed satellite broadband services and secure networking systems, the company has made significant strides in both military and commercial markets worldwide.

The company, which is based in Carlsbad, California, has expanded its operations far beyond the United States, establishing a presence in North America, Europe, and Asia.

Its recent acquisition of Inmarsat in May for $7.1 billion is a testament to its ambitions, to expand its reach and capabilities in the satellite communications market. Viasat’s popularity isn’t just about its services; it’s about innovation and a drive to connect the unconnected.

However, this expansion came with its set of challenges, leading to the recent layoffs that have caught the attention of many. This made many people to start asking questions about its strategies and future direction.

Viasat Layoffs More Than 800 Employees Recently

In a significant move, Viasat announced the layoff of 800 employees, about 10% of its workforce, a decision that shook the company to its core.

This reduction, announced on November 3rd, 2023, was part of the company’s efforts to integrate the Inmarsat business post-acquisition, aiming to achieve operational and cost efficiencies.

The layoffs were spread across various geographies and divisions, impacting a significant portion of Viasat’s workforce. This decision is expected to save the company $100 million in annual expenses, beginning in the fiscal year 2025, and help reach its CapEx target of $1.4 to $1.5 billion.

Why is Viasat Laying Off Employees?

Viasat Layoffs
Viasat Layoffs

The recent Viasat layoffs can be attributed to several strategic reasons. First, the integration of Inmarsat into Viasat’s operations necessitated a rationalization of roles to eliminate redundancies and streamline operations.

This massive reorganization reflects Viasat’s strategy to focus its resources on the biggest growth opportunities and position itself for long-term success.

But that’s not the only reason, the layoffs were also part of a broader cost-saving measure, expected to save $100 million annually starting in 2025.

So, if you have heard about recent Viasat layoffs and are not sure what really went down, now you know the reason behind this major decision made by the company.

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Is There a Layoff Coming Soon?

While many people have been concerned that Viasat might continue its layoff trend this year, the truth is that there is presently no official confirmation yet to confirm that there will be Viasat layoffs this year.

However, companies in the tech and communications sectors are continually evaluating their strategies and operations in response to market demands and financial pressures.

Also, Viasat’s recent layoffs and strategic decisions suggest a company in the midst of significant transformation. As it finalizes insurance claims and focuses on integrating Inmarsat’s assets, future restructuring cannot be entirely ruled out.

Is Viasat Facing Financial Challenges?

Viasat’s financial health has been a subject of speculation, especially due to the layoffs and the substantial costs associated with the Inmarsat acquisition. While the company is expected to incur charges of around $45 million due to the layoffs, it’s important to note that Viasat’s net worth and revenue growth indicate a company on the rise.

With a current market cap of £2460 million and significant revenue growth, Viasat’s financial future looks promising. However, the need to achieve cost savings and manage debt levels indicates a cautious approach to financial management, possibly influencing its decision to lay off employees.

Final Note

If you have been concerned about Viasata and wondering if the company’s layoff trend will continue this year, you should rest your mind. As of the time of writing this post, there has not been any official statement from the company confirming that there are layoffs in the pipeline.

We have shown you the financial stand of the company and whether more layoffs are on the horizon. So, as we keep hope alive, let’s keep our fingers crossed and hope for the best from Viasat as touching layoffs and downsizing!

FAQs

How Many Employees Does Viasat Have?

As of the first quarter of 2023, Viasat has about 6,800 employees. The company has a broad presence, with offices across North America, Asia, and Europe, reflecting its global operations and reach in the satellite communications industry.

Why is Viasat so Slow Lately?

The most common reason subscribers experience slow speeds with Viasat is due to exceeding the monthly data allowance. Once this allowance is exceeded, access isn’t blocked, but speeds are restricted and can become significantly slower.

This is a part of Viasat’s data-capped plans, designed to manage network bandwidth. Customers can log into My Viasat to check their data usage and see how much data they have left for the current billing period.

Does Viasat Have a Termination Fee?

Yes, Viasat does have an early termination fee (ETF). If you decide to cancel your Viasat internet service before the end of your 24-month service term, you may be charged an ETF of $15 for every month remaining on your contract. This fee is part of the contract agreement to compensate for the remaining period of the service agreement.

Is Viasat a US Company?

Yes, Viasat is an American communications company based in Carlsbad, California. It provides high-speed satellite broadband services and secure networking systems covering both military and commercial markets.

With additional operations across the United States and worldwide, Viasat plays a significant role in the global communications landscape.

Who Bought Viasat?

Well, Viasat hasn’t been bought by another company; instead, Viasat has made significant acquisitions itself. Most notably, Viasat completed the acquisition of British-based satellite operator Inmarsat on May 30 for $7.1 billion.

However, L3Harris Technologies did complete a $1.96 billion purchase of Viasat’s tactical data link business, an acquisition aimed at enhancing L3Harris’s capabilities related to the Pentagon’s Joint All-Domain Command and Control initiative. But that was a long time ago – it wasn’t a recent event.

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