Intel said Tuesday it will cut 12,000 jobs, or 11 percent of its global workforce, as consumers buy fewer PCs and Intel failed to capitalize on the shift to smartphones and tablets. The job cut is Intel's biggest in terms of people affected. "These are not changes I take lightly," Chief Executive Brian Krzanich said in a letter to employees, saying the savings will be used for areas of Intel's business that are expanding, like chips for servers used in cloud computing.
Personal computer shipments fell 11.5 percent globally in the first quarter of this year, research firm IDC said Monday. Intel "looked at the decline of the PC market and clearly decided that they are going to put most of their effort elsewhere," tech analyst Rob Enderle told The Wall Street Journal. Most of Intel's factories are in the U.S., but the company did not say where the 12,000 jobs will be cut.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Create an account with the same email registered to your subscription to unlock access.
-
'Elevating Earth Day into a national holiday is not radical — it's practical'Instant Opinion Opinion, comment and editorials of the day
-
UAW scores historic win in South at VW plantSpeed Read Volkswagen workers in Tennessee have voted to join the United Auto Workers union
-
Today's political cartoons - April 22, 2024Cartoons Monday's cartoons - dystopian laughs, WNBA salaries, and more
-
Empty-nest boomers aren't selling their big homesSpeed Read Most Americans 60 and older do not intend to move, according to a recent survey
-
Brazil accuses Musk of 'disinformation campaign'Speed Read A Brazilian Supreme Court judge has opened an inquiry into Elon Musk and X
-
Disney board fends off Peltz infiltration bidSpeed Read Disney CEO Bob Iger has defeated activist investor Nelson Peltz in a contentious proxy battle
-
Disney and DeSantis reach detenteSpeed Read The Florida governor and Disney settle a yearslong litigation over control of the tourism district
-
Visa and Mastercard agree to lower swipe feesSpeed Read The companies will cap the fees they charge businesses when customers use their credit cards
-
Reddit IPO values social media site at $6.4 billionSpeed Read The company makes its public debut on the New York Stock Exchange
-
Housing costs: the root of US economic malaise?speed read Many voters are troubled by the housing affordability crisis
-
Feds cap credit card late fees at $8speed read The Consumer Financial Protection Bureau finalized a rule to save households an estimated $10 billion a year
