Intel fires 10.000 workers from their Fab business

winjer

winjer

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www.techspot.com

Intel to cut as many as 10,000 factory jobs, one of its largest-ever layoffs

In a memo to employees, Intel Manufacturing Vice President Naga Chandrasekaran acknowledged the gravity of the decision. "These are difficult actions but essential to meet our affordability...
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Intel is preparing to lay off as much as one-fifth of its factory workforce in a move that will reshape one of the company's core business units. The layoffs, set to begin in July, are expected to affect more than 10,000 employees worldwide, marking one of the largest workforce reductions in Intel's history.
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In a memo to employees, Intel Manufacturing Vice President Naga Chandrasekaran acknowledged the gravity of the decision. "These are difficult actions but essential to meet our affordability challenges and current financial position of the company. It drives pain to every individual," Chandrasekaran wrote, according to The Oregonian. The company is targeting job reductions between 15 percent and 20 percent, with most of the cuts taking place next month.
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The layoffs will primarily impact Intel's foundry division, which includes a wide range of roles from technicians on the factory floor to researchers developing future generations of microprocessors. While Intel has not disclosed the exact number of factory workers, estimates suggest that about half of its 109,000 employees work in production or related services, meaning the cuts could eliminate between 8,000 and 11,000 jobs globally.

This round of layoffs comes after Intel eliminated 15,000 jobs across the company in 2024. The company is responding to a prolonged decline in sales and a challenging outlook, driven by stiff competition in the PC and data center markets and missed opportunities in artificial intelligence chips.

Intel reported an $821 million loss in the first quarter of 2025 and has steadily reduced its headcount from nearly 125,000 in 2023.
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Oh No Fire GIF
 
sad batman GIF

Sorry for the jobs lost, and also Intel slowed progress for the sake of profit due to lack of competition did they not? That is why AMD was able to overtake them, is that not so? I can't help but see that same hubris in nvidia. There was a time not too awfully long ago when I would have never believed Intel could be dethroned.
 
Last edited:
Zacfoldor said:
sad batman GIF

Sorry for the jobs lost, and also Intel slowed progress for the sake of profit due to lack of competition did they not? That is why AMD was able to overtake them, is that not so? I can't help but see that same hubris in nvidia. There was a time when I would have never believed Intel would be dethroned.
Click to expand...
In fairness there are a couple key differences when it comes to nVidia
  1. GPUs also have the software side to them, and DLSS tips the balance for many making a choice
  2. AMD don't price aggressively enough in the GPU market to gain the ground they need
 
Moore's law is dead. Progress is slowing down. Sales are following suit. All this seems expected. Still sucks, though.
 
Zacfoldor said:
sad batman GIF

Sorry for the jobs lost, and also Intel slowed progress for the sake of profit due to lack of competition did they not? That is why AMD was able to overtake them, is that not so? I can't help but see that same hubris in nvidia. There was a time not too awfully long ago when I would have never believed Intel could be dethroned.
Click to expand...
From what I understand, two CEO's ago they cut the R&D budget for big savings and good quarterly reports. No way AMD could catch up. Then AMD did catch up and surpass intel. Now intel is ran by dumbshits.

Real shame, I liked intel around 2010 or so.
 
winjer said:
www.techspot.com

Intel to cut as many as 10,000 factory jobs, one of its largest-ever layoffs

In a memo to employees, Intel Manufacturing Vice President Naga Chandrasekaran acknowledged the gravity of the decision. "These are difficult actions but essential to meet our affordability...
www.techspot.com www.techspot.com







Oh No Fire GIF
Click to expand...
It's actually worse loss as the $800 million loss doesn't include a one time charge of like $16 Billion.

Also, "The layoffs will primarily impact Intel's foundry division, which includes a wide range of roles from technicians on the factory floor to researchers developing future generations of microprocessors."

That will sure help their ongoing roadmaps and attempts to get more customers and improve their fabs. :(

This isn't going to end well, but it's understandable why the CEO is doing that considering the shit state the company is in.

I guess TSMC got a potential pool of workers to hire as they were complaining of labor shortages.
 
StereoVsn said:
It's actually worse loss as the $800 million loss doesn't include a one time charge of like $16 Billion.

Also, "The layoffs will primarily impact Intel's foundry division, which includes a wide range of roles from technicians on the factory floor to researchers developing future generations of microprocessors."

That will sure help their ongoing roadmaps and attempts to get more customers and improve their fabs. :(

This isn't going to end well, but it's understandable why the CEO is doing that considering the shit state the company is in.

I guess TSMC got a potential pool of workers to hire as they were complaining of labor shortages.
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That is a good point. A few people are here talking about how this might benefit AMD.
But the big winner here is TSMC, as they extend their lead in the Fab business.
I would not be surprised if TSMC would poach several of these Fab workers for their own Fabs in the USA.
 
Soodanim said:
In fairness there are a couple key differences when it comes to nVidia
  1. GPUs also have the software side to them, and DLSS tips the balance for many making a choice
  2. AMD don't price aggressively enough in the GPU market to gain the ground they need
Click to expand...
Yeah, nvidia has a LONG way to go before they are under any danger from AMD.

AMD had an opportunity, but their inability to keep a steady supply of the 9070XT at MSRP has blunted much of their first quarter momentum.

Right now the 5070 Ti is being sold close to MSRP and is arguably a better deal than what the 9070XT is going for.
 
winjer said:
That is a good point. A few people are here talking about how this might benefit AMD.
But the big winner here is TSMC, as they extend their lead in the Fab business.
I would not be surprised if TSMC would poach several of these Fab workers for their own Fabs in the USA.
Click to expand...
Yep, they were saying before one of the big reasons for the delay was not enough "floor technicians and engineers" and Intel just provided them some.
 
JohnnyFootball said:
Yeah, nvidia has a LONG way to go before they are under any danger from AMD.

AMD had an opportunity, but their inability to keep a steady supply of the 9070XT at MSRP has blunted much of their first quarter momentum.

Right now the 5070 Ti is being sold close to MSRP and is arguably a better deal than what the 9070XT is going for.
Click to expand...
Realistically for both companies gamer GPUs are almost immaterial compared to AI hardware. That's where real competition will be and what's going to drive success and failure.

Anything we get as gamers is going to flow out from the designs focused on AI. And most of manufacturing capacity will be consumed by that. Hence the reason for AMD's fairly low availability.
 
JohnnyFootball said:
Yeah, nvidia has a LONG way to go before they are under any danger from AMD.

AMD had an opportunity, but their inability to keep a steady supply of the 9070XT at MSRP has blunted much of their first quarter momentum.

Right now the 5070 Ti is being sold close to MSRP and is arguably a better deal than what the 9070XT is going for.
Click to expand...
None of that matters. Nvidia could exit the consumer GPU business tomorrow and still be sitting pretty.
 
StereoVsn said:
Realistically for both companies gamer GPUs are almost immaterial compared to AI hardware. That's where real competition will be and what's going to drive success and failure.

Anything we get as gamers is going to flow out from the designs focused on AI. And most of manufacturing capacity will be consumed by that. Hence the reason for AMD's fairly low availability.
Click to expand...
Not meaning it in a derogatory way, but I'm always confused by people thinking gamers are the first thought when it comes to NV, AMD or Intel.
 
For anyone wondering what's going on with this, the company is preparing to separate their foundry business. The previous CEO Pat Gelsinger was in favor of keeping the two together but he got canned at the end of last year, with new management wanting to proceed to reap the benefits of having separate businesses. Depending if they are selling or just spinning off the foundry business, it will look a lot more attractive to scale down the overhead.

I don't agree with any of this, it seems to be a huge strategic mistake, but it will make the Intel chip designing business look more profitable and allow them to focus on AI. That's why the people in charge are making it happen and it's probably the only reason they are even attempting to get into the GPU business.
 
So OP's topic title says:
"Intel fires 10.000 workers from their Fab business"

but the article says:
"Intel to cut as many as 10,000 factory jobs, one of its largest-ever layoffs" - implying it hasn't been done yet and might not actually be done?
 
Seeing Intel on the path to irrelevancy like this warms my heart. Finally, I get my revenge for their stupid Pentium 4 burning down not only itself, but also taking my mainboard with it. Get fucked, Intel.
 
In the old days the fabs had a lot of workers and they would move the boats of wafers from one machine to another and physically put them in. It was never jam packed in it and in practice you wanted the least amount of people access to the machines because you could have managers under the gun and they would change some of the processes so they would be done quicker but that effected yield.

These days (which I haven't been in one in a while) I see its all robots moving the boats all around the floor and its mostly automated now. This also would stop fuckery of people screwing with things. If they are as slick as it seems they don't need many people working inside. Robotics would make it possible to bring some manufacturing back to the US except for the fact it just needs to be sent back overseas to get put in something :messenger_tears_of_joy:
 
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