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posted by janrinok on Friday August 01, @08:52PM   Printer-friendly

Arthur T Knackerbracket has processed the following story:

Intel provided more detail about the scope of its planned job cuts and other business changes while sharing its second-quarter earnings results. Reports in April suggested that Intel could eliminate around 20 percent of its staff in a restructuring plan. Today, the chipmaker said it anticipates having a core workforce of 75,000 employees by the end of 2025, down from 99,500 at the start of the year.

The numbers are even more dramatic when considering the company's downsizing efforts as a whole. This time last year, the chipmaker employed 116,500 across the globe, not including workers at its subsidiaries, and that number has fallen precipitously since. As of June 28, the company had 96,400 workers, meaning it's planning a reduction of more than 20,000 employees over the second half of the year.

These cuts are part of the company's current goal to bring its non-GAAP operating expenses down to $17 billion this year, then to $16 billion at the end of 2026. The effort to rein in spending is also leading Intel to abandon some previously announced expansions. The business will no longer embark on new projects in Germany and Poland, and it said it will consolidate its Costa Rican testing and assembly operations into existing efforts in Vietnam and Malaysia. Finally, it will also "slow the pace" of its stateside growth at a construction site in Ohio.

"Our operating performance demonstrates the initial progress we are making to improve our execution and drive greater efficiency," said Lip-Bu Tan, who has been forthright about his plans to downsize since assuming the CEO title in March. Tan was brought in to replace Pat Gelsinger in an effort to turn around Intel's business following a long, slow slide into financial trouble.


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  • (Score: 2) by kolie on Friday August 01, @09:07PM (6 children)

    by kolie (2622) Subscriber Badge on Friday August 01, @09:07PM (#1412189) Journal

    Portfolio full of INTC let's go boys.

    • (Score: 2, Informative) by Anonymous Coward on Friday August 01, @10:22PM (5 children)

      by Anonymous Coward on Friday August 01, @10:22PM (#1412198)

      You have such a portfolio now?

      Is the Intel stock value going UP? now?? I wouldn't touch it with a nitrile glove.

      How long does it take for the stock price of a corporation that sheds 25% of its footprint, capacity, product line, and staff to rise back to its former glory? I might consider them in 2027 (staff cuts through 2026??) but I won't touch them until I see how comfortable I am with them (from a "working in that field") standpoint after all of their "restructuring". I'd *guess* it won't recover for 10 years, so buying now locks that amount of money away for that long - zero growth, until then. Sell now, before it goes lower, and buy again later, when it's lower. (Don't hold a loss because you've already lost.)

      There might be some people buying because, "Oohh, Intel! It's getting cheaper!!" who don't know what's going on with them.

      You're probably kidding. It doesn't come across that way, though :-)

      • (Score: 5, Funny) by mrpg on Friday August 01, @11:52PM (2 children)

        According to trading platform Autopilot, Nancy Pelosi's stock tracker took the financial world by storm in 2024, delivering a jaw-dropping 54% gain and outshining nearly every hedge fund. Remarkably, it even beat the Inverse Cramer Stock Tracker, designed to do the opposite of Jim Cramer's stock picks, which itself posted an impressive 43% gain in 2024. While the result seems almost mythical, it shows the growing fascination with lawmakers' trading disclosures and the investment strategies built around them.

        https://finance.yahoo.com/news/nancy-pelosi-outperformed-nearly-every-180016264.html?_guc_consent_skip=1754092271 [yahoo.com]

        • (Score: 0) by Anonymous Coward on Saturday August 02, @12:25AM

          by Anonymous Coward on Saturday August 02, @12:25AM (#1412204)

          Based on this comment, I think it makes a great deal of sense to avoid Intel stock.

        • (Score: 2) by kolie on Monday August 11, @04:38PM

          by kolie (2622) Subscriber Badge on Monday August 11, @04:38PM (#1413286) Journal

          Sold quarter position INTC at 21.30 - entry at 19.15 on the first ( this post ). 11% gain in two weeks. not too bad. holding on cause I expect the news with trumps meeting to be fruitfuler.

      • (Score: 5, Insightful) by khallow on Saturday August 02, @10:41AM

        by khallow (3766) Subscriber Badge on Saturday August 02, @10:41AM (#1412227) Journal
        For me, the real problem is that Intel didn't fall to where it is now by hiring too many people. Rather it got here by bad leadership and bad ownership, both which are still in place.
      • (Score: 2) by kolie on Monday August 04, @02:37PM

        by kolie (2622) Subscriber Badge on Monday August 04, @02:37PM (#1412386) Journal

        Ive got 30% returns on the year from INTC. It's a longer term play but I manage the position and have been rewarded thus far from doing so.

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