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Intel Plans to Cut Thousands of Jobs to Fund Recovery, Bloomberg News Reports
(Reuters) – Intel Corp plans to cut thousands of jobs to fund a turnaround and address falling market share, Bloomberg News reported on Tuesday, citing people familiar with the matter.
Shares of the chipmaker, which is due to report quarterly results on Thursday, rose about 1% in extended trading. The stock has fallen 40% so far this year.
Intel declined to comment on the report when contacted by Reuters.
The US chipmaker remains a major player in the PC and server markets, but has struggled to keep up with growing demand for chips used in AI applications.
CEO Pat Gelsinger has initiated a turnaround to regain its competitive edge, focusing on revitalizing Intel’s manufacturing capabilities, investing in advanced chip technologies and expanding into new markets.
Intel’s total headcount was 124,800 at the end of 2023, based on a regulatory filing.
(Reporting by Akash Sriram in Bengaluru; Editing by Sriraj Kalluvila)