With another round of layoffs, Intel might axe 20 per cent of jobs as new CEO Lip-Bu Tan aims to slash red tape and battle AI chip rivals. The chip giant is yet to make a formal announcement.
Intel Corporation is reportedly preparing to slash over 20% of its global workforce this week as part of an overhaul led by its new CEO, Lip-Bu Tan. According to a Bloomberg report, the move aims to reduce internal bureaucracy and revive the company’s engineering-driven culture.
The layoffs form part of a broader restructuring plan, as the chipmaker attempts to recover from years of declining sales and falling behind competitors in the artificial intelligence (AI) chip sector. Tan, who assumed leadership in March 2025, is said to be focusing on streamlining management and improving operational efficiency.
However, Intel has not officially confirmed the job cuts.
The downsizing is seen as a strategy to turn around the company’s fortunes, particularly as it trails rivals like Nvidia in key technology advancements. Reports suggest that the workforce reduction will help Intel become more agile and responsive to customer needs.
This is not Intel’s first round of cuts. In August 2024, the company laid off 15,000 employees, bringing its total headcount down to 108,900 by year-end, down from 124,800 in 2023.
Following his appointment, Tan has also announced plans to spin off non-core assets and prioritise innovation in core technologies. Last week, Intel agreed to sell a 51% stake in its programmable chip unit, Altera, to Silver Lake.
The company is due to release its first-quarter earnings on Thursday, April 24, amid growing investor scrutiny.
