- New CEO Lip-Bu Tan plans to cut over 20% of Intel’s global workforce.
- The move aims to streamline management and prioritize engineering.
- Intel’s revenue and market share have struggled amid fierce competition.
Intel is reportedly preparing to lay off more than 21,000 employees, over 20% of its workforce. This is part of a sweeping restructuring initiative under its new CEO, Lip-Bu Tan.
Tan’s restructuring strategy includes reducing management layers and selling off non-core divisions. It also involves shifting the company’s culture back to its engineering roots.
New Intel CEO Lip-Bu Tan Begins Drastic Cuts Amid Company Shakeup
Intel’s newly appointed CEO Lip-Bu Tan is enacting swift and aggressive changes at the tech giant. He plans to eliminate more than 21,000 jobs globally. This move represents the largest layoff in Intel’s history. It reflects a sharp pivot toward leaner management and renewed focus on technical innovation.
The layoffs are expected to impact employees across various departments worldwide. Tan has identified deep inefficiencies in Intel’s leadership structure. He aims to cut through bureaucratic layers that he believes have slowed the company’s progress in recent years.
Intel’s broader strategy includes spinning off and selling non-core assets. Earlier this month, the company sold 51% of its programmable chip division, Altera, to Silver Lake. This is a sign that Intel is divesting from less profitable business lines to concentrate on core chip technologies.
With key units now reporting directly to Tan, Intel’s leadership is placing engineering front and center. This cultural and operational shift is intended to help the company regain competitive footing. The sector is increasingly dominated by agile rivals like AMD and Nvidia.
Intel’s drastic workforce reduction underlines the urgency of its turnaround efforts. With new leadership at the helm, the company is betting big on a leaner, engineering
“Tan aims to streamline management and rebuild an engineering-driven culture,” a source reveals, as Intel moves to lay off 21,000 employees in a strategic overhaul.
