… And Reduced Worforce

Crossroads Systems, Inc. announced a reduction in its workforce affecting 30 employees, or approximately 23% of the company’s 129 employees.

The reduction comes as Crossroads’ development of the StrongBox shared storage solution enters its final stages. More than 85% of the reduction is within R&D. Expected cost savings are approximately $5 million annually.

"Over the last couple of years, we have greatly increased engineering expenses in order to be the first to market with our innovative StrongBox archive solution," said Rob Sims, president and CEO at Crossroads. "The product continues to be well received in the marketplace and we are pleased with its strong performance. We highly value all of our employees and deeply regret having to make these reductions within the Crossroads family. However, this reduction that largely affects R&D was required to better align ongoing expenses with our business and position Crossroads for future growth."