Intel will minimize over 15,000 jobs in a sweeping cost-cutting effort

In a crushing quarterly replace, Intel that it’ll minimize greater than 15 p.c of its workforce. The layoffs, which may affect over 15,000 jobs, are a part of the corporate’s $10 billion cost-reduction plan to get better monetary stability. Intel posted a second-quarter internet lack of $1.6 billion, plunging from the online revenue of $1.5 billion it reported in the identical interval of 2023.

CEO Pat Gelsinger addressed workers with a acknowledging the scope of immediately’s bulletins. “That is painful information for me to share,” he mentioned. “I do know it will likely be much more tough so that you can learn. That is an extremely onerous day for Intel as we’re making among the most consequential modifications in our firm’s historical past.”

In addition to the job cuts, the cost-reduction plan consists of creating separate monetary reporting for Intel Merchandise and Intel Foundry. The Intel Foundry department noticed an working lack of $2.8 billion in Q2, much more than the $1.8 billion working loss it noticed through the second quarter final yr. Intel has been within the means of overhauling its foundries to make them extra aggressive. Within the interim, it has needed to depend on different corporations for some manufacturing. TSMC, the identical producer utilized by Apple, Qualcomm and AMD, is producing its new .

The corporate took a further hit within the public eye when its Thirteenth- and 14th-generation desktop CPUs started experiencing . Whereas a repair is predicted this month to stop any additional issues, any injury that the microcode errors brought on to CPUs .