Carlsbad, California-based compression algorithms specialist Stac Electronics Inc, is laying off 40 people. The company, which offers the Stacker family of data compression products for personal computers, has been unsettled by Microsoft Corp’s inclusion of compression in MS-DOS 6, which is blamed for the job cuts. The company says it has four new products coming this quarter – Stacker for Macintosh, Stacker for OS/2 & MS-DOS, and two new releases of Stacker for Windows & MS-DOS to address the compression shortcomings of MS-DOS 6.0, and it now has a streamlined organisation.