Intel is set to reduce its global workforce by more than 24,000 employees by the end of 2025, marking one of the company’s most significant restructurings in recent years.
Oregon Live reports that Intel, the world’s largest semiconductor manufacturer, revealed Thursday that it is nearing completion of a sweeping round of layoffs that will see its workforce shrink by approximately 22 percent compared to mid-2025 levels. The company, which employed around 96,000 people at the end of June, expects to lay off around 24,000 employees, finishing the year with about 75,000 after accounting for job cuts, attrition, and the sale of its Altera programmable chip business.
These cuts are part of a broader effort by CEO Lip-Bu Tan to streamline operations and drive efficiency at every level. In a note to employees, Tan acknowledged the difficulty of the past months, stating, “We are making hard but necessary decisions to streamline the organization, drive greater efficiency and increase accountability at every level of the company.” The layoffs, which began earlier this summer, have already impacted thousands in Oregon — Intel’s largest global site — where the local workforce now stands at its lowest point in a decade at around 17,600.
The restructuring extends beyond workforce reductions. Intel is also dramatically scaling back its manufacturing ambitions, scrapping plans to invest billions in new factories in Germany and Poland, closing an assembly site in Costa Rica, and moving those operations to larger facilities in Vietnam and Malaysia. The company has again delayed the opening of its much-anticipated Ohio factory, with no new timeline announced.
Tan admitted to analysts that previous investments in manufacturing capacity “were well ahead of demand and were unwise and excessive,” resulting in a “needlessly fragmented” factory footprint. The company’s second-quarter financial results reflected the tumult, with sales flat at $12.9 billion and a reported loss of $2.9 billion, including nearly $2 billion in restructuring charges.
Looking ahead, Intel’s future in advanced manufacturing is uncertain. In a regulatory filing, the company warned that it may abandon next-generation chipmaking altogether if it fails to attract major outside clients to its forthcoming 14A manufacturing process, slated for launch in 2028 or 2029. “If we are unable to secure a significant external foundry customer for Intel 14A…we may pause or discontinue our pursuit of next generation leading-edge process technologies,” the filing stated.
Internally, morale appears to be a growing issue. Employees have voiced concerns about repeated layoffs and a new mandate requiring most staff to return to the office at least four days a week. Intel’s internal message boards have reportedly been active with questions about how the company will rebuild trust and retain talent amid these sweeping changes.
Read more at Oregon Live here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.
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