F5 Inc, a company that provides cloud and security services, announced on Wednesday that it will be implementing cost-cutting measures, including a 9% reduction in its workforce and the reduction of bonuses for senior executives.

In recent months, the technology industry has experienced a series of workforce reductions due to the deceleration of growth after a surge in digital services during the pandemic.

As part of its downsizing strategy, F5 is set to impact 623 employees through job cuts, while also implementing cost-saving measures such as reducing spending on office space and executive travel, reported Reuters. 

"It's clear that rising interest rates, geopolitical events, and macroeconomic uncertainty have dramatically affected our customers' spending patterns... we must take measures to decrease our costs without jeopardising our future growth trajectory," CEO François Locoh-Donou said in an email to staff shared as part of an exchange filing on Wednesday.

F5, headquartered in Seattle, Washington, has also revised its revenue growth projection for the fiscal year 2023 to a "low-to-mid single-digit" range, down from its earlier forecast of 9% to 11% growth. This announcement led to a 5% decline in its shares during after-market trading.