Layoff: Intel may lay off 18 thousand employees, preparing to cut expenses by $ 20 billion
American chip maker Intel announced that it will cut 15 percent of its total staff in order to streamline its operations. According to reports, currently one lakh twenty-four thousand employees are working in Intel. In such a situation, according to the company’s announcement, about 18 thousand employees may be laid off.
Company will cut expenses by $20 billion
Intel plans to cut its expenses by about $20 billion this year. The company has suffered a loss of about $ 1.6 billion in the recent quarter. The company’s CEO Pat Gelsinger has issued a statement saying that ‘Our performance in the second quarter was very poor even though we have achieved milestones in key products and technology. The trends for the second half are more challenging than our previous expectations. ‘By cutting our expenses, we are taking proactive steps to improve our profits and strengthen our balance sheet,’ said Chief Financial Officer David Zinsner.
The company also banned its investment in Israel
Troubled by losses, Intel announced in June that it was also halting the expansion of a major factory project in Israel. The company was planning to invest an additional $15 billion for a chip plant in Israel. Intel is facing tough challenges from its rival companies Nvidia, AMD and Qualcomm. For decades, Intel has dominated the market for chips that are used in everything from laptops to data centers, but in recent years companies like Nvidia have moved ahead in the field of AI.
