Intel plans to lay off more than 15% of its workforce by the end of the year, the company announced today, meaning roughly 15,000 employees or more (potentially up to 17,475 based on recent Intel headcount numbers of 116,500) — a vast restructuring that comes amid troubling financial results this quarter. The layoffs rank among the most severe in Intel's 56-year history.
The news came during an earnings call for the semiconductor giant, which also announced that it has encountered yield issues with its Meteor Lake processors, problems that negatively impacted the bottom line. The company lost $1.6 billion in the quarter. Intel said it will cancel some 'underperforming' products in a bid to save costs and plans to suspend its seemingly sacred dividend in the fourth quarter. At the time of publication, Intel's stock had dropped 19% in after-hours trading.
