The computer company that got its start in Iowa is cutting its workforce by 25 percent, but the layoffs apparently won’t dramatically affect operations in the Sioux City area. Gateway founder Ted Waitt says the company’s manufacturing plant in Utah will close, but the one in North Sioux City, South Dakota, will stay open. Waitt says there will be no layoffs at the plant in North Sioux City. Four Gateway call-in centers for consumers and sales people will close, but five others, including the one in North Sioux City, will remain open. Waitt says Gateway is focusing on marketing in the U-S, exiting the Asia/Pacific market, and limiting itself to consulting in Europe.Waitt says Gateway will be “nimbler and faster” with the changes, which include a focus on “beyond the box” businesses like computer training, software and networking services. Gateway cut three thousand jobs in January and, before yesterday’s announcement, had 19-thousand employees on the payroll. In addition to selling its wares over the Internet, the company has “Gateway Country” stores in Cedar Rapids, Davenport, West Des Moines, North Sioux City, South Dakota; and Omaha, Nebraska. Waitt spoke to reporters late yesterday in a conference call that was broadcast on the Internet.
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