xG Technology, Inc. (Nasdaq: XGTI, XGTIW) has implemented cost reduction initiatives that are expected to result in a decrease in xG´s overall monthly operating expenses to approximately USD500,000 on the xMax brand — a reduction in monthly cash burn of approximately USD300,000, the company said.
The savings will be realized through a combination of voluntary severance, a reduction in the full-time and part-time workforce, the elimination of certain contractors, transitioning other employees to non-cash compensation arrangements, and other reductions in expenses. Additional reductions will be derived from synergies identified as a result of the acquisition of Integrated Microwave Technologies (IMT), which was finalized on January 29, 2016. The new cost structure will support the company´s ability to execute on the growth objectives for its xMax and IMT brands.
Founded in 2002, xG Technology has developed communication technologies that make wireless networks more intelligent, accessible, affordable and reliable.
The company´s technology brand portfolio includes xMax and Integrated Microwave Technologies (IMT). xMax is a patented all-IP cognitive radio network system that enables secure, robust mobile broadband communications for private, consumer and government networks.
Based in Sarasota, Florida, xG has over 100 patents and pending patent applications.