Texas Instruments (TI) is planning to cut its workforce count at its Indian office, as part of its overall change in structure. According to a report in Economic Times , the company is planning the lay-off as they are looking to reduce focus on making chips used in mobile phones and tablets to concentrate on more profitable areas, as per the report.
This is the first time that the company is looking to undertake shredding employees in India. The reports further states that employees were being let go, but declined to share numbers. Globally, the company has announced plans to lay off some 1,700 employees, or 5 per cent of its workforce and is hoping to attain annualised savings of about $450 million by the end of 2013.
“This decision is consistent with TI’s previously outlined intentions to focus its OMAP processors and wireless connectivity solutions on a broader set of embedded applications with long life cycles, instead of its historical focus on the mobile market where large customers are increasingly developing their own custom chips,” said Narahari KS, director, Communications, TI Indian arm as per the report.
The global strategy is being set by TI to focus on chips used in mobile phones, where it faces stiff competition from rival Qualcomm. With about $14 billion (Rs 77 billion) in revenues, TI is the third largest manufacturer of semiconductors worldwide after Intel and Samsung and second largest supplier of processors for mobile phones after Qualcomm.
The report stated Narahari saying, that the global decision will have some impact on Indian employees as well but said that there will be opportunities for some employees to get re-deployed to other divisions within the company.
