Cisco Systems is planning to lay off 471 workers across three San Francisco Bay Area locations, according to notices filed with the California Employment Development Department this week.

The networking and cybersecurity company, which employs roughly 86,200 people globally as of July 2025, had previously informed employees in May that it would eliminate fewer than 4,000 positions, representing less than 5% of its total workforce. The California filings provide further detail on which roles will be affected in the state.

The affected positions span software engineering, product management, design, business operations, and other areas, and are located at Cisco’s offices in San José, Milpitas, and San Francisco. The company declined to offer additional comment beyond its May announcement regarding its restructuring plans.

The layoffs come as the artificial intelligence boom continues to reshape the tech industry, driving both massive new investments in data centers and commercial real estate while simultaneously altering the employment landscape—particularly in Silicon Valley. Tech companies have cited various reasons for workforce reductions, including a shift in priorities toward AI investment. As AI-powered tools become increasingly capable of generating code, written content, and other outputs, some executives have argued that fewer employees are needed. However, skepticism remains about how significant a role AI actually plays in layoff decisions at large global firms.

According to a June report from Challenger, Gray & Christmas, U.S. technology companies announced 123,653 job cuts from January through May, a 66% increase compared to the same period in 2025. The firm noted that while AI was the leading reason cited for reductions, it has not resulted in the “jobpocalypse some predicted.” Meta, Snap, Block, Oracle, and Amazon are among the other major tech companies that have announced mass layoffs this year.

Cisco, which markets itself as a provider of “critical infrastructure for the AI era,” has actually benefited from the AI boom, posting record revenue of $15.8 billion in the third quarter of this year. Net income rose 35% year-over-year to $3.4 billion during that period. In his May message to employees, Cisco Chief Executive Chuck Robbins said the company is cutting costs in certain areas while prioritizing other investments, including employee use of AI across the organization. “Cisco will be among winners in the AI era,” Robbins told staff, “but that means making hard decisions — about where we invest, how we’re organized, and how our cost structure reflects the opportunity in front of us.”