In what could be one of the most significant corporate shakeups of 2025, Intel Corporation is reportedly preparing to lay off over 20% of its workforce, according to sources cited by Bloomberg. This potential move comes under the leadership of new CEO Lip-Bu Tan, who took over in March 2025 with a bold vision to overhaul the company’s structure and restore its competitive edge in the global semiconductor market.
As per insiders, these job cuts are part of a deep organizational restructuring aimed at eliminating bureaucratic slowdowns, streamlining Intel’s operations, and reviving its core engineering-driven culture. The layoffs—though not officially confirmed by the company—are expected to affect thousands of employees across various non-core and managerial departments. According to the same sources, internal teams have already been briefed, and a formal announcement may be just days away.
Intel’s recent performance struggles have been no secret. The tech giant has recorded three consecutive years of declining revenue while losing critical ground to Nvidia, particularly in the rapidly growing AI chip market. CEO Lip-Bu Tan, known for his successful leadership at Cadence Design Systems, appears set on steering the company toward a leaner, innovation-first model that can compete more effectively in emerging tech domains like artificial intelligence and high-performance computing.
At the Intel Vision Conference held last month, Tan outlined his priorities: “Intel must rebuild its engineering strength, focus on the technologies that matter, and spin off businesses that no longer align with our mission.” According to sources, Tan is planning to cut back on middle management, enhance R&D, and accelerate the product development cycle to match market demands.
This would not be the first time Intel has implemented drastic cost-cutting measures. In August 2024, the company laid off nearly 15,000 employees, reducing its total workforce to about 1,08,900. A year prior, the figure stood at 124,800. However, the scale of the upcoming layoffs is expected to be even broader, impacting a larger portion of Intel’s global staff.
Despite the lack of official confirmation, the reported job cuts are already sparking widespread discussion in the tech industry. Analysts say that while the layoffs will certainly disrupt internal operations and affect thousands of families, the larger goal may be to revitalize a company that has long been seen as a legacy giant in need of reinvention.
The challenge ahead for Intel is massive—but so is the opportunity. As AI continues to reshape industries and Nvidia leads the charge in chip innovation, Intel’s reset could either be the start of a bold resurgence or a high-stakes gamble. Only time will tell if Tan’s vision can bring Intel back to the top of the semiconductor pyramid.
Stay tuned newsdailyupdates for more updates.
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