Santa Clara, February 8: Intel layoffs will continue to affect more people as the semiconductor giant focuses on cost reduction. Last year, former Intel CEO Pat Gelsinger announced that the chip giant would aim to reduce 15% of the workforce in 2025, affecting around 15,000 employees globally. Before his retirement, he also announced a massive USD 10 billion cost-saving plan. However, he left Intel in December 2024. Intel's new CEO is expected to be Tom Caulfield who is currently CEO of GlobalFoundries, but it has yet to be confirmed. 

Despite the leadership changes, the plan to reduce the workforce remained unchanged. The latest round of Intel layoffs is expected to reduce 23,000 employees within two years. The company has reduced its workforce significantly since 2022 to save costs and address the global challenges amid emerging new technologies. Meta Layoffs: Facebook Parent Company To Cut Jobs From Various Departments Starting on February 10 With Aim To Hire More Machine Learning Engineers.  

According to reports, Intel will cut 58 roles from the Folsom, California campus by the end of March 2025. The company will continue its USD 10 billion plan to save costs. According to the reports, the latest round of layoffs will add 1,000 more employees to the already eliminated positions since January 2023. With the job cuts and cost-cutting efforts, the global semiconductor giant wishes to gain its competitive edge amid the rise of other companies in the market. As per reports, 16,000 people were laid of in 2024 alone. 

Intel's financial performance in 2024 was poor compared to 2023. The company only posted USD 53.1 billion in revenue, which was low compared to the previous year's USD 54.2 billion. Besides, the company also suffered financial losses as its stock price plummeted by 60% in a year. Boeing Layoffs: Aerospace Giant To Cut 400 Jobs As NASA Expected To End SLS Contracts Amid Adjustments in NASA’s Artemis Program, Cost Expectations.

The Intel Folsom layoffs will reportedly be a part of the company's cost-saving plan of USD 10 billion in 2025. Once a strong player in the market with over 1,00,000 headcounts, it is now going forward with less workforce and more focus on getting its market position back. However, in a report by CTech, Intel's declining workforce represented its struggles with productivity. The report mentioned that Intel's revenue in 2020 was USD 700,000 per employee, while it significantly dropped in 2023 to USD 440,000.

(The above story first appeared on LatestLY on Feb 08, 2025 12:42 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).