Intel Corporation announced plans to cut approximately 15,000 jobs, representing 15% of its workforce.
This move comes as the semiconductor giant loses ground to rivals such as Nvidia and AMD in the AI Chip Market
The job cuts are part of a broader cost-reduction strategy aimed at saving $10 billion by 2025.
“Simply put, we must align our cost structure with our new operating model and fundamentally change the way we operate,” CEO – Gelsinger stated in the memo.
The cost-reduction plan includes several major components:
1. A 15% reduction in workforce, equating to roughly 15,000 roles
2. Suspension of the company’s stock dividend starting next quarter
3. A more than 20% decrease in 2024 capital expenditures
4. A targeted $1 billion reduction in non-variable cost of goods sold for 2025
