Intel has reportedly initiated a new round of workforce reductions, with sources indicating that the majority of these cuts are impacting non-essential departments such as human resources, marketing, and other administrative functions. While employees involved in hardware growth are said to have been largely unaffected, a pervasive sense of unease reportedly permeates the company, with staff expressing anxiety about their job security.
for decades, Intel maintained a dominant position in the x86 processor market. Though, its competitors have as surpassed the company in terms of both chip design innovation and manufacturing capabilities.
Intel’s current predicament stems,in part,from its past financial strategies. The company allocated substantial funds to share buybacks,aimed at bolstering its stock price,and distributed notable dividends to shareholders,rather than prioritizing investment in new technological advancements. This approach has left Intel in a challenging position. Moreover, the future of the US CHIPS Act, legislation designed to inject billions into the semiconductor industry and encourage domestic manufacturing, is now uncertain, potentially hindering Intel’s efforts to recover.
Intel is not the only major semiconductor company experiencing workforce adjustments; AMD has also implemented staff reductions in recent months.
Intel has not yet provided a statement in response to inquiries regarding these workforce changes. ®
