Phone manufacturer, Blackberry is to lay off 40% of its staff.
The job cuts will happen across the board and are likely to occur in waves, according to the Wall Street Journal.
BlackBerry, which once dominated the corporate smartphone arena, has struggled in recent years to stop rapid market share losses to rivals like Apple and Samsung.
In January, BlackBerry unveiled new phones running a revamped operating system called BlackBerry 10 designed to better compete, but its market share continues to lag.
A spokesman for parent company Research In Motion said: "We will not comment on rumours and speculation.
"As previously stated, we are in the second phase of our transformation plan.
"Organisational moves will continue to occur to ensure we have the right people in the right roles to drive new opportunities in mobile computing."
Last month, BlackBerry confirmed it will consider entering joint ventures, partnerships or even a full sale of the company.