Bloomberg Reports on Intel Layoffs
Intel Cut 15,000 Jobs Last Year
New CEO Stresses Elimination of Bureaucracy
Intel, the struggling American semiconductor company, is reportedly set to announce plans this week to lay off more than 20% of its entire workforce.
On April 22 (local time), Bloomberg News reported this information, citing anonymous sources. The move is described as an effort to eliminate bureaucracy within the organization, as well as part of an attempt to streamline management and rebuild an engineer-centric culture.
Intel's workforce stood at 124,800 at the end of 2023, but after a round of layoffs involving 15,000 employees announced in August last year, the number had dropped to 108,900 by the end of last year.
If Intel proceeds with the restructuring, it will mark the first large-scale layoff since CEO Lip-Bu Tan took office last month.
At the "Intel Vision" conference on March 31, CEO Tan emphasized his intention to "simplify the way we work" and pledged to eliminate bureaucracy. He also stated that the company would focus on securing talent, improving its financial structure, and adjusting manufacturing processes.
On April 14, Intel announced the sale of a 51% stake in its programmable chip subsidiary, Altera, a move seen as part of efforts to divest non-core assets and streamline the organization.
Intel did not respond to Bloomberg's request for comment.
Once a dominant force in the global semiconductor market with its personal computer (PC) central processing units (CPUs), Intel has faced management difficulties as it has fallen behind in adapting to changes such as mobile and artificial intelligence (AI). Intel is scheduled to announce its first-quarter earnings on April 24.
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