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Cisco to cut 5,500 jobs, or 7% of global workforce, starting in fiscal 2017

Cisco said on Wednesday it will cut up to 5,500 positions, about 7 percent of its global workforce, beginning in the fiscal first quarter of 2017.

The company said that "today's market requires Cisco and our customers to be decisive, move with greater speed and drive more innovation than we've seen in our history." Cisco said it expects to reinvest the cost savings from its restructuring plan into "key priority areas such as security, IoT, collaboration, next generation data center and cloud."

The stock was down about 1 percent in extended trading.

Cisco also posted earnings and revenue that topped analyst expectations on Wednesday.

The company reported fiscal fourth-quarter earnings of 63 cents a share on revenues of $12.64 billion, beating analyst expectations for 60 cents per share on revenues of $12.57 billion, according to a Thomson Reuters consensus estimate.

Cisco CFO Kelly Kramer said that Cisco's "strong operational discipline has enabled us to drive growth and margin improvement as we continue to invest in key priority areas such as security, IoT, collaboration, next generation data center and cloud, while also delivering shareholder value."

Cisco also said it expects adjusted first-quarter earnings to come in between 58 cents and 60 cents per share.

This is breaking news. Please check back for updates.

Cisco CEO Chuck Robbins will appear on CNBC's "Squawk on the Street" on Thursday at 9 a.m. ET.