Intel is expected to announce plans to cut more than 20% of its global workforce this week, according to a report by Bloomberg News. The move comes as the semiconductor giant seeks to streamline operations, reduce bureaucracy, and sharpen its focus on engineering-led innovation.
The reported layoffs could affect tens of thousands of employees across Intel’s global operations. The restructuring is the first major initiative led by new CEO Lip-Bu Tan, who took the helm last month amid efforts to revive the company’s fortunes in a fiercely competitive chipmaking industry.
While Intel has not officially confirmed the cuts, a spokesperson for Intel Ireland told RTÉ News that the company does not comment on “rumour and speculation.”
Enterprise and Employment Minister Peter Burke is currently engaging with Intel about the reported restructuring and is in contact with IDA Ireland. However, no public statement is expected until the implications for Irish workers, particularly those at Intel’s Leixlip facility in Co Kildare, become clearer.
Intel employs around 108,900 people worldwide, with approximately 4,900 based in Ireland. The country remains a key manufacturing and research hub for the company.
The potential layoffs follow a previous round of job reductions announced in August 2024, when Intel revealed it would cut 15% of its workforce as part of a $10 billion cost-saving plan. At the time, the company cited rising operational costs, declining margins in its traditional PC and data center businesses, and the steep investment needed to compete in the growing AI chip market.
CEO Lip-Bu Tan has signaled sweeping changes since assuming leadership, telling employees shortly after his appointment that “tough decisions” were ahead. Last week, Reuters reported that Tan had begun flattening Intel’s management structure, with core engineering and chip divisions now reporting directly to him.
Tan is also said to be reworking Intel’s approach to artificial intelligence, a space where the company has lagged behind rivals like Nvidia and AMD.
The reported layoffs come as Intel prepares to release its first-quarter financial results on Tuesday. Investors and analysts will be watching closely for signs of how the restructuring efforts are impacting the company’s performance and long-term strategy.
