Reuters is reporting that IBM will slash 5,000 jobs in the US, but there is still no official confirmation of the report.

IBM currently employs 115,000 workers in the US, and the cut would account for 4 percent of its total workforce. The company employs just under 400,000 workers worldwide, and has significantly expanded its workforce in China and India over the past years. Currently two thirds of IBM's revenue stems from overseas operations.

According to numerous reports, IBM is currently in talks to buy Sun Microsystems, in a deal that would make it the market leader in server technologies. However, we are not sure how the sacked workers will react to this costly deal.

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