Tech giant Intel lays off 15 per cent of staff as it struggles to turn around ailing business

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The Silicon Valley chipmaker is cutting 15 per cent of its staff as part of a $10 billion plan to reduce costs.

globally - most of them this year."Simply put, we must align our cost structure with our new operating model and fundamentally change the way we operate," CEO Pat Gelsinger wrote in a memo on Thursday .The symbol for Intel appears on a screen at the Nasdaq MarketSite, on October 1, 2019 in New York. Intel Corp. Intel reports earnings on Thursday, August 1, 2024.

Intel, once the world's most dominant chipmaker with a stranglehold on PCs and Macs, has fallen far from its lofty peak in recent years. "Intel's announcement of a significant cost-cutting plan including layoffs may bolster its near-term financials, but this move alone is insufficient to redefine its position in the evolving chip market," Emarketer analyst Jacob Bourne said.President Joe Biden listens to Intel CEO Pat Gelsinger as Intel factory manager Hugh Green watches during a tour of the Intel Ocotillo Campus, in Arizona in March.

 

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