It makes sense. Broadcom wants to re-enter IKAN'S market. But IKAN has the legacy equipment placed with most Telcos that Broadcom's products must interface with. IKAN'S latest technology and legacy interface would be coveted by Broadcom. Have any of you noticed that IKAN'S new Chairman of the Board of Directors is a former Broadcom executive and specializes in packaging companies for sale? Check it out for yourself by googling the new Chairmen it is a real eye opener. Since he left Broadcom he has as already packaged at least one company to Broadcom. IKAN'S cost cutting may also be part of the package. It makes sense.
Lay of happens in the best companies. In fact after the DST division aquisition and years of recruiting some clean up is healthy (it may even be necessary if they are preparing the company for what I personally think inevitable, a merge/sell )