Intel, the California-based chip manufacturer, is planning to reduce its workforce by over 2,000 employees in the United States to save on expenses, according to reports. The job cuts will affect around 1,300 workers in Oregon, 385 in Arizona, and 219 in California, as reported by US publication CRN. It also mentioned that an additional 251 job losses are anticipated in Texas. An Intel representative informed the publication that these layoffs are part of the 15,000 cuts announced by Intel CEO Pat Gelsinger earlier in August. He stated that the layoffs were intended to reduce expenses by more than $10 billion due to the company’s financial circumstances. Intel’s CEO outlines new measures. In September, Gelsinger outlined new strategies to reduce costs and strengthen Intel’s chip-making division by announcing the separation of its chip-manufacturing and design operations. Gelsinger explained that this increased separation would enable the manufacturing sector to secure independent financing, ease customer concerns about its autonomy, and align its culture more closely with that of a contract chip maker. He noted that these new measures were part of an effort to navigate one of the most significant crises in the company’s 50-year history. Additionally, Gelsinger stated that Intel is pausing factory projects in Germany and Poland for two years and delaying a manufacturing project in Malaysia until demand rebounds. He presented a plan to reduce the workforce by cutting 15,000 jobs in various office locations. The ‘New Regional Engagement Model’ is included in this plan. The CRN report noted that Intel appointed channel expert Dave Guzzi as its new global channel chief in October. The goal is to introduce a new regional engagement model for partners in 2025. “Intel is and will always remain focused on channel partnerships.” “My main focus is to do everything we can to help our partners expand their business, and I am excited about the work that lies ahead,” Guzzi stated.
