- Intel is reportedly planning to cut 15-20% of factory workers next month
- News is coming as Intel reveals that revenue is flat, QOQ income could fall
- Lip-Bu Tan will streamline the workforce
Intel plans to dismiss about 15-20% of its factory working power as it appears to increase revenue and deal with the ever-changing market conditions
A report from Oregonlive Requirements of cost -saving efforts planned to begin as soon as mid -July 2025 will primarily affect Intel Foundry, one of its core business departments.
“These are difficult actions, but important to meeting our affordable challenges and the current financial position in the company. It is driving pain to any individual,” VP Naga Chandraskaran allegedly in a note with employees this weekend.
Intel set to even more redundancies
The news comes as Intel continues to fight with his financial performance revenue remained flat year over years during his first quarter of 2025, with predictions for revenue from the second quarter suggesting a quarter over-quarter-doll.
The company has already made significant reductions of its number of employees, including the termination of 15,000 contracts in August 2024.
It is believed that no volunteer buyouts will be offered this time, where Intel instead bases the layoffs of project priorities, performance and skills assessments. Factories that relate to advanced chip development and workers in highly educated roles may be among those less likely to be affected.
“We take a disciplined and cautious approach to supporting continued investments in our core products and foundry companies while maximizing operating costs and capital efficiency,” explained CFO David Zinsner in the company’s earnings release in the first quarter.
In addition to saving cash, Intel’s approach to redundancies also centers on the streamlining of the workforce and removes inefficiency by eliminating certain areas of middle management-something like New CEO Lip-Bu Tan promised to do when he transforms the company back into a profitable business.
Techradar Pro Has contacted Intel to confirm its plans, but the company did not respond immediately.
