Intel Intel planning to cut thousands of jobs in cost-saving move: Report
California/IBNS: American tech major Intel Corporation is likely to announce layoffs for thousands of employees as early as this week, Bloomberg reported, citing sources in the know.
According to reports, the move comes as the California-headquartered chip maker looks to cut costs and recover for projected flat Q2 earnings expected on August 1, and market share losses.
As per Bloomberg report, Intel has about 110,000 employees, excluding workers at units that are being spun out.
Between October 2022 to December 2023, the company laid off 5 percent of its employees to 124,800, reports Bloomberg.
The chip maker is also slowing spend in “other areas” and is expected to slash expenses by as much as $10 billion by 2025, according to the Bloomberg report.
Intel has been facing financial headwinds that have caused its share prices to fall significantly so far this year as the company reported that its 2023 revenue was $54.2 billion, down $8.8 billion, or 14 percent, from 2022.
Notably, Intel’s once-dominant position and market share has eroded under the company's CEO Pat Gelsinger’s predecessors as rivals, such as Advanced Micro Devices Inc. (AMD) caught up, reports Bloomberg.
However, a spokesperson for Intel declined to comment on the matter, Bloomberg added.
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