Because jobs at companies with heavy tech footprints (I assume at least some of those 1,100 layoffs will be of IT workers) is always interesting to us nerds.
I just turned down a job offer at a publicly-traded tech "startup" that doesn't pay dividends and who's profitability fluctuates widely from quarter to quarter. Including the restricted stock portion of the compensation package, it would have been a big raise -- assuming both that the stock didn't tank too much and I stayed employed long enough for it to vest. But those risks vs my current stable (as far as I know) position just didn't add up for me. And news like this reminds me exactly why I was too nervous to take the job.
The CEO's statement, "we’re stronger than ever", is probably correct. AFTER laying of a bunch of people, they very well may be in a position to make some consistent profits and eventually pay a dividend. But how many of those 1,100 took the job over better alternatives because they had dollar signs in their eyes and hoped the stock they were getting would make them rich.
This is news for nerds because we need remember to limit how much we let companies pawn off their potentially worthless stock on us in lue of real compensation.