Intel, American multinational corporation, is planning to layoff thousands as a measure to improve the financial health of the company. The move to cut jobs hasn't been announced by the company yet but will be made this week as per the Bloomberg report.
Intel's financial health has been under pressure lately, with the company's shares declining by over 35 per cent on Nasdaq (year-to-date basis). The reduction in the workforce will reportedly help in cutting down costs. As fiscal problems continue to build-up, Pat Gelsinger, CEO of the company, is trying multiple ways to regain Intel's lost position as the leader of the semiconductor industry.
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Gelsinger is also planning to improve Intel's technology. The company is aggressively infusing funds into research and development to bring back its lost glory in the market.
On one hand, Intel's rival, NVIDIA Corporation has evolved with the changing technology by incorporating AI-related applications which led to the production of highly profitable semiconductors. Intel, on the other, is juggling between fluctuating demand for its chips and decreasing market share.
The reported job cuts wouldn't be the first time when the chipmaker resorted to layoff its employees. The company downsized its workforce by 5 per cent to 124,800 by the end of 2023.
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Currently, its workforce stands somewhere around 110,000 employees.
In March this year, Intel carved out India as a separate region and appointed Santhosh Viswanathan as Vice-President and Managing Director of the India Region.
In a recent interview, Santhosh Viswanathan said, "Earlier this year, Intel elevated India to a separate geographical unit, highlighting the immense growth potential and exciting opportunities we see here. India hosts Intel's largest design and engineering centres outside the US, with state-of-the-art facilities in Bengaluru and Hyderabad. These centres house 13,000 employees, contributing to Intel products globally."
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