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Spectre of layoffs looms over Intel following dismal sales
The Register ^

Posted on 05/09/2023 4:54:29 AM PDT by FarCenter

More layoffs may be imminent at Intel following the x86 giant's $2.8 billion Q1 loss.

Posting last week on Blind, a popular spot for techies discussing impending layoffs, one employee wrote that the corporation's Client Computing Group (CCG) was seeking volunteers, and that an involuntary round of layoffs would follow if there weren't enough volunteers. We take this to mean that Intel is offering buyouts for early retirement in some of its divisions. The employee also reported involuntary layoffs hitting the Datacenter and AI group (DCAI), with notifications to land in June.

Another staffer emphasized that these wouldn't be company-wide layoffs, but that a "huge portion" of the corporation is doing layoffs. Others referenced an all-hands meeting last week in which cuts appear to have been mentioned.

Over the weekend, SemiAnalysis's Dylan Patel, citing contacts within the chip shop, predicted massive layoffs were on the way. Patel's prognostications suggest Chipzilla's DCAI and CCG teams are each set for budget cuts of around ten percent. The analyst estimated that one in five employees working in those divisions could be cut. He also noted that logic technology positions would be unaffected by layoffs:

...

Intel has warned of layoffs since October 2022, after the silicon-slinger committed to cutting annual spending by $10 billion. At the time, Intel execs said those cuts would include laying off a "meaningful number" of employees and dumping products.

In the wake of that decision Intel has cut several projects including a $700 million liquid and immersion cooling lab in Oregon, a $200 million R&D facility in Israel, reorganized its graphics division, canceled its Rialto Bridge datacenter GPUs, delayed its Falcon Shores APU, sold off its server design business unit, and canned its ill-timed cryptomining ASICs.

(Excerpt) Read more at theregister.com ...


TOPICS: News/Current Events
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1 posted on 05/09/2023 4:54:29 AM PDT by FarCenter
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To: FarCenter

AI.
‘Nuff said.


2 posted on 05/09/2023 4:57:48 AM PDT by Jonty30 (Let us celebrate Cinco de Mayo, the dance of five mayonaisses.)
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To: Jonty30

AMD is better and cheaper. Nuf said


3 posted on 05/09/2023 5:16:38 AM PDT by Fai Mao (Starve the beast and steal its food!)
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To: FarCenter

Intel has selected a 1,000-acre site in New Albany, Ohio, to be its third major US chipmaking location, with construction beginning this year and operations starting in 2025.


4 posted on 05/09/2023 6:21:26 AM PDT by griswold3 (Truth, Beauty and Goodness )
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To: FarCenter

When I think of intel laptops I think slow processors, loud fans, heat vents blowing hot air and poor battery life. That’s intel technology. They are light years behind Apple silicon.


5 posted on 05/09/2023 6:29:11 AM PDT by libh8er
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To: FarCenter

Isnt there a chip shortage:-?


6 posted on 05/09/2023 7:04:41 AM PDT by Harpotoo (Being a socialist is a lot easier than having to WORK like the rest of US:-))
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To: FarCenter

If there ARE layoffs, the woke will be the LAST ones standing. Intel has turned into an “All woke, all the time” company.


7 posted on 05/09/2023 7:41:06 AM PDT by FrankRizzo890
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To: libh8er

“When I think of intel laptops I think slow processors, loud fans, heat vents blowing hot air and poor battery life. That’s intel technology. They are light years behind Apple silicon.”

Power consumption has gone way down in electronic devices including Intel processors. Portable devices are the biggest sellers today and low power consumption is hugely important to their success.


8 posted on 05/09/2023 7:44:37 AM PDT by cymbeline
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To: griswold3

“construction beginning this year”

In the current economic climate that may mean vacant land will remain vacant for years to come.

Time will tell.


9 posted on 05/09/2023 7:48:19 AM PDT by cgbg (Claiming that laws and regs that limit “hate speech” stop freedom of speech is “hate speech”.)
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To: libh8er

>>When I think of intel laptops I think slow processors, loud fans, heat vents blowing hot air and poor battery life.

For decades the Wintel duopoly succeeded by having Intel make ever faster processors and Microsoft produce ever less efficient Windows operating systems.

But smartphone processors using ARM and smartphone OS from Apple and Google gave the game away. Even Microsoft is no longer cooperating.

The three year upgrade treadmill is thoroughly broken.


10 posted on 05/09/2023 8:18:11 AM PDT by FarCenter
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To: Harpotoo

>>Isnt there a chip shortage:-?

Not of Intel chips. Beginning of year they had $2.7 billion in inventory.


11 posted on 05/09/2023 8:23:27 AM PDT by FarCenter
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To: FarCenter
The three year upgrade treadmill is thoroughly broken.

3 years? Mine last 10. That's a working minimum. These days, CPU is not really much of a bottleneck. Last time I upgraded my desktop, it was because some critical software I use for work, would no longer run on the model processor I was using. Otherwise, I'd still be using that desktop, and it would be 13 years old.

12 posted on 05/09/2023 8:31:08 AM PDT by zeugma (Stop deluding yourself that America is still a free country.)
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