Latest Intel Layoffs to Impact Thousands of Employees

A new round of Intel layoffs reportedly will impact thousands of workers to cut costs and fund an effort to rebound from losses.

That’s according to Bloomberg, citing people familiar with the company’s plans. The Intel layoffs could come this week as the company will report its second-quarter earnings on Thursday.

Intel employs about 110,000 people. That excludes those in units slated for spinoff.

According to Bloomberg, Intel CEO Pat Gelsinger is spending heavily on R&D aimed at improving the company’s technology. He wants a "return to prominence" in the semiconductor industry. Its leadership position slipped under Gelsinger’s predecessors as rivals such as Advanced Micro Devices (AMD) caught up and took market share, Bloomberg noted.

Intel isn’t commenting on the layoffs.

Previous Intel Layoffs

The last Intel layoffs, announced in December, meant more than 300 workers in California started 2024 unemployed.

At the time, Intel said it was working to accelerate its strategy while reducing costs through multiple initiatives, including some business and function-specific workforce reductions in areas across the company.

According to CNBC, Intel’s first-quarter earnings beat Wall Street expectations for earnings per share, but sales disappointed. Revenue was $12.7 billion, up 9% from the year-ago quarter. It also reported a $400 million net loss, versus a $2.8 billion net loss for the year-ago quarter.

Related:Recent Tech Layoffs: 2024 Q1 Tracker

Intel then gave a weak forecast for its second quarter.

Intel recently launched specific initiatives for AI partners, such as the AI PC Acceleration Program, AI PC Developer Program, and the AI Accelerator within the Intel Partner Alliance.