Intel to cut 12,000 jobs as it contends with decline of the PC
by Brandon Bailey, The Associated Press
Rise of mobile devices force chipmaker to adjust business, slash 11 per cent of workforce
Intel’s headquarters in Santa Clara, Calif. The company said the significant cuts will provide up to $1.4 billion in annual savings. PHOTO: Lijorijo, via Wikimedia Commons
SAN FRANCISCO—Intel says it will cut 12,000 jobs—about 11 per cent of its workforce—as it reorganizes to confront a decline in sales of personal computers.
The chipmaker said the cuts will include “voluntary and involuntary departures” from its operations around the world. Most of the affected workers will be notified in the next 60 days.
Intel said the cuts will provide about $1.4 billion in annual savings by the time the cuts are completed next year.
The company, based in Santa Clara, California, is a leading supplier of computer chips, but PC sales have been declining steadily in recent years. It’s trying to focus on its most profitable lines of business, which include making processors for data centre computers and Internet-connected gadgets.
