Intel to Lay Off 10,000 Employees Worldwide
Solomon Thompson / 2 months ago
Intel plans to lay off 10,000 employees worldwide to save approximately $10 billion by 2025. This decision comes as Intel faces increasing competition from AMD and NVIDIA and aims to streamline its operations.
Reason Behind the Layoffs
The layoffs are driven by several factors, including malfunctions and performance issues with Intel’s latest processors. These issues have damaged Intel’s reputation and finances. Additionally, Intel’s market share has been declining, and the company has faced a significant drop in PC sales.
In response, Intel plans to save around $3 billion by next year and boost its financial performance. The company reported a record loss of $2.8 billion in the first quarter, with revenue falling to $11.7 billion, down 36% from the previous year. The CEO, Pat Gelsinger, has emphasized the need to cut costs and invest in new technology to stay competitive.
Intel’s challenges include technical problems with its newest processors, leading to reports of crashes and malfunctions. These issues have harmed Intel’s reliability and added to its financial strain. Despite a scheduled fix, Intel acknowledges that the problems are severe enough to potentially cause permanent damage to the affected processors.
