I mentioned in last week's post that Intel is struggling, having just announced layoffs for 2,400 at their four Intel facilities, plus another 1,600 at other US plants, and a few overseas. The idea for many, nay most, engineers is that it is safer to work for a large corporation rather than do your own start-up. And why not pick a company which sells Billions of dollars annually, what can go wrong?
Intel, to pick one, was one of America's most profitable companies for decades, and had a virtual monopoly with micro-computer chips for Personal Computers. They were routinely ranked #1 in the world for chip manufacture.
But then, something happened on the way to the bank. TSMC got good at chip manufacture. AMD got better at designs. ARM chips fueled the SmartPhone revolution, not Intel's chips. Today, sadly, Intel is reported to have fallen out of the Top Ten semiconductor companies, even with 110,000 employees. What?
Below is more detail.
UPDATE: July 14, 2025: Intel Corp. is laying off more than 4,000 employees across four states, according to updated Worker Adjustment and Retraining Notification filings. More than half of the cuts are now taking place in or near Hillsboro, Oregon.
In a revised letter to Oregon officials, Intel increased its initial layoff estimates from 529 employees to a total of 2,392. The first separations are set to occur over a two-week period beginning July 15.
Intel also increased its layoff estimates from 172 in Chandler, Arizona, to 696.
July 11: Intel Corp. is laying off approximately 1,666 employees across four states this month as part of a company-wide restructuring effort to reduce costs and simplify operations.
“We are taking steps to become a leaner, faster and more efficient company,” Intel said in an email July 9. “Removing organizational complexity and empowering our engineers will enable us to better serve the needs of our customers and strengthen our execution.”
The job cuts, which begin to take effect July 11, will affect hundreds that work at or report to Intel in California, Oregon, Texas and Arizona, according to recent Worker Adjustment and Retraining Notification filings.
About half of those affected — roughly 855 — are based out of Intel’s offices and facilities in Santa Clara and Folsom, California. The company is also cutting 529 employees across its four campuses in or near Hillsboro, Oregon, considered to be the heart of the company’s research and development operations.
Additionally, Intel has given recent layoff notices to 172 workers in Chandler, Arizona and 110 in Austin, Texas, according to WARN filings as of July 11.
A spokesperson declined to elaborate on which departments or segments of the company will be affected. In late June, Intel said it will “wind down” its automotive business within its client computing group.
The chipmaker has also started sending layoff notices to hundreds of workers in Israel, where Intel employs roughly 4,000 at its Kiryat Gat campus, Israel-based news outlet Ynet reported.
One of CEO Lip-Bu Tan’s priorities since taking over in March has been to refocus Intel’s core products for a new era of computing shaped by artificial intelligence and reasoning models.
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