Menlo Park, California-based Pacific Biosciences of California, a biosciences technology company that designs, develops, and manufactures advanced sequencing solutions to help scientists and clinical researchers resolve genetically complex problems, has announced a restructuring, including a cost-cutting initiative and the closure of its 74,000-square-foot San Diego, California facility.
The cost-cutting initiative and office closure will impact 195 employees, including 71 in the company's Menlo Park office and 108 in the San Diego office. The nearly 25% reduction in force affects nearly all functions within the company, including engineers, scientists, and management-level positions such as directors and vice president.
The scheduled separation date is June 28, 2024. To lower production costs, some consumables manufacturing for reagents and flow cells were previously transferred from San Diego to Menlo Park.
CEO Christian Henry noted, “We believe that the sales cycle increased primarily because of uncertainty surrounding the timing of funding for new capital equipment, particularly in the United States and China. There’s no doubt that PacBio and our industry are facing increasing headwinds this year. However, we remain incredibly optimistic about our business and the prospects for long-read sequencing.
"This swift and decisive action is a demonstration of our plan to achieve positive cash flows by the end of 2026, as originally outlined in our long-term guidance. We remain highly encouraged by PacBio’s long-term growth potential.”
According to a company spokesperson, "The company had to make difficult but necessary changes in response to headwinds that have affected our industry and our performance ... We considered every option and ultimately determined that this is the path we must take to achieve our mission and enable PacBio to drive long-term value creation.”
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?
