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Intel to lay off 12,000 employees in major restructuring effort

Confirming previous rumors, Intel has announced a major restructuring that will result in 12,000 of its employees being laid off by mid-2017. That will represent about 11% of the company's workforce.

The chip company says the move is part of its plans to "accelerate its evolution from a PC company to one that powers the cloud and billions of smart, connected computing devices." Intel says:

The data center and Internet of Things (IoT) businesses are Intel's primary growth engines, with memory and field programmable gate arrays (FPGAs) accelerating these opportunities – fueling a virtuous cycle of growth for the company. These growth businesses delivered $2.2 billion in revenue growth last year, and made up 40 percent of revenue and the majority of operating profit, which largely offset the decline in the PC market segment.

Intel is expected to take a one-time charge of $1.2 billion during the second quarter of 2016 as part of the restructuring. It is expected to result in a savings of $750 million in 2016, with annual savings of $1.4 billion by mid-2017. The majority of the layoffs are expected to happen in the next 60 days.

  • "Move to cloud and smart connected devices" AKA sit of our ass on the desktop cpu front. Intel needs a kick in the ass, Zen needs to be good so bad. Posted from my Nexus 6/Nexus 7 2013/Surface Pro 3
  • Meanwhile, the CEO gets a big million dollar bonus for firing the workers Posted via the Android Central App
  • I'm really looking forward to the Zen CPUs. They need top of the line single thread performance and power efficiency if they hope to get some market share back. Posted via Xperia Z5
  • All I see when I read this is that yet another company chooses to acquire specific types of talent and discard others, rather than education and training. Alot like what IBM is doing to my own team. Bastards.
  • Tic, toc, layoff Posted via the Android Central App
  • Lol now it's "process architecture, optimization" AKA "optimize architecture and optimize it again" Posted from my Nexus 6/Nexus 7 2013/Surface Pro 3
  • Right they added the optimization part Posted via the Android Central App
  • I'm sure this will once again cause the federal government to lower the unemployment rate. I mean, Obama says it's at, what 2.0%, right? Posted via the Android Central App
  • I know. All Obama has to do is go on this board and see all of the losers without job commenting throughout the workday.
  • You referring to yourself, me, or someone else? Because I have a job. Posted via the Android Central App
  • Right
  • Obama is dilusional Posted via the Android Central App
  • Trump/Palin 2016 Posted via the Android Central App
  • 1.9%^,LMAO. Posted via the Android Central App
  • Wonder how much of a pay cut the CEO and Senior manager are taking.
  • They are probably taking raises in salary...
  • Damn, it's gonna be a stressful couple weeks now Posted via the Android Central App
  • Wow, that's a lot of poor souls!
  • Everyone getting laid off should switch to Agri-biotechnology. We have to feed this growing population, and the entire Biotech industry is in a huge shortage of labor. The switch is not hard, especially for those with Python experience and really any kind of science interest. Opinion expressed from a Moto X Pure
  • Layoffs suck, when it hits you or someone you know, no matter what the company's alleged reasons are behind it. Posted via the Android Central App
  • woah, that's huge!
  • Just wait until the foreign workforce arrives with lower wages and must be trained by the poor saps who got laid off. Just like our friends at Disney. Jagoffs Posted via the Android Central App
  • Last week Intel lobbied Congress for more foreign workers, this week laying off 12k Posted via Android Central App
  • Damn, it's already began. My old supervisor already sent his goodbye :( Posted via the Android Central App