REDMOND, Wash.—Metawave Communications Corp. is terminating its SpotLight GSM product line, closing its Taiwan facilities and reducing headcount in China and the United States by 42 percent.
In connection with the Asian operations, Metawave identified certain unauthorized commitments made to customers there. These commitments raise issues regarding the recognition and timing of SpotLight GSM product revenue in 2001, and consequently Metawave anticipates adjusting its quarterly revenue by $5 million to $7 million for the $43.6 million in total revenue previously reported.
As a result of the restructuring, the company also said it expects to take a charge in the first quarter of about $23 million. Stuart Fuhlendorf, Metawave’s chief financial officer, is leaving the company. Randy Scheer will be his replacement.
