Intel Corp. is laying off more than 5,000 employees across four states in the latest round of job cuts from the chip maker.
First reported by Manufacturing Dive, the number comes from updated Worker Adjustment and Retraining Notification filings, with most of the job cuts occurring in California and Oregon. Just shy of 2,000 jobs are specifically being cut at Intel facilities in Folsom and Santa Clara and are said to have started in the second week of July.
In addition to the Folsom and Santa Clara layoffs in California, Intel has also issued updated notices revealing significant job cuts in Oregon. Revised filings indicate approximately 2,392 positions at the Hillsboro and Aloha campuses will be affected, part of one of the largest tech layoffs in the state’s history. The reductions in Oregon started around July 11 and include a mix of engineering, technical and administrative roles.
The downsizing extends beyond the West Coast. In Arizona, Intel has increased its planned Chandler layoffs from roughly 170 to close to 700 employees, local media outlet KJZZ reported.
Further east, Intel employees in Texas have also not been spared, with 110 roles at the company’s Austin campus being eliminated under the global workforce reduction initiative, with the layoffs having also started in mid-July.
Affected employees will receive nine weeks of severance plus benefits and four to eight‑week notice periods.
The layoffs are part of a plan announced by Intel Chief Executive Officer Lip‑Bu Tan in April to eliminate more than 20% of Intel’s global workforce, targeting around $500 million in operating expense cuts this year and another $1 billion next year. At the time, Tan said that the idea was to “streamline management and rebuild an engineering-driven culture.”
Intel’s latest round of layoffs follows in the steps of other large firms that have been shedding jobs this year, most recently Microsoft Corp. which announced that it was cutting 9,000 employees, or around 4% of its workforce, in July.
Other companies that have reduced their headcounts this year include CrowdStrike Holdings Inc., which slashed 500 employees in May and Google LLC, which laid off hundreds of employees from its Platforms & Devices group in April.
The layoffs come amid growing concern that artificial intelligence could potentially replace millions of workers in the coming years. In May, Dario Amodei, chief executive officer of Anthropic PBC, warned that AI could eliminate half of all entry-level white-collar jobs within five years, driving the U.S. unemployment rate to between 10% and 20%.
Image: News/Reve
Support our open free content by sharing and engaging with our content and community.
Join theCUBE Alumni Trust Network
Where Technology Leaders Connect, Share Intelligence & Create Opportunities
11.4k+
CUBE Alumni Network
C-level and Technical
Domain Experts
Connect with 11,413+ industry leaders from our network of tech and business leaders forming a unique trusted network effect.
News Media is a recognized leader in digital media innovation serving innovative audiences and brands, bringing together cutting-edge technology, influential content, strategic insights and real-time audience engagement. As the parent company of News, theCUBE Network, theCUBE Research, CUBE365, theCUBE AI and theCUBE SuperStudios — such as those established in Silicon Valley and the New York Stock Exchange (NYSE) — News Media operates at the intersection of media, technology, and AI. .
Founded by tech visionaries John Furrier and Dave Vellante, News Media has built a powerful ecosystem of industry-leading digital media brands, with a reach of 15+ million elite tech professionals. The company’s new, proprietary theCUBE AI Video cloud is breaking ground in audience interaction, leveraging theCUBEai.com neural network to help technology companies make data-driven decisions and stay at the forefront of industry conversations.