Intel to Lay off over 20 Percent of Workforce

Intel Corporation is preparing to lay off more than 20 percent of its global workforce this week as part of a major restructuring effort, according to a Bloomberg News report citing insider sources.

The move comes amid prolonged financial challenges and a sluggish semiconductor market.

The layoffs aim to streamline company operations and refocus Intel’s strategy around a stronger, engineering-driven culture. This will mark the first major restructuring under new CEO Lip-Bu Tan, who took over leadership of the company just last month.

At the end of last year, Intel employed approximately 109,000 people. The anticipated job cuts could affect tens of thousands of employees across departments, making this one of the largest workforce reductions in the company’s history.

The restructuring is part of a broader initiative to restore Intel’s competitive edge in the semiconductor industry. Once a dominant force in chip manufacturing, Intel has seen its market share steadily erode over recent years, losing ground to rivals such as Nvidia, especially in the rapidly expanding field of artificial intelligence computing.

Headquartered in Santa Clara, California, Intel has struggled to keep pace with technological innovation, leading to three consecutive years of declining sales and mounting losses.

The company’s latest actions signal a significant shift in strategy aimed at regaining its leadership in the semiconductor sector and stabilizing its financial performance.