Cisco Systems has announced plans to cut nearly 4,000 jobs, representing less than 5% of its workforce, as part of a strategic restructuring. The move, which includes increased investment in AI, has driven Cisco's stock to a new all-time high, surging 15%. The company expects pre-tax charges of up to $1 billion from the restructuring, with $450 million recognized this quarter for severance and related expenses. CEO Chuck Robbins emphasized that while roles are being reduced in certain areas, Cisco is strategically investing in chips, optics, security, and AI applications. This restructuring aims to align the company's resources with its growth priorities, particularly in emerging technologies.