Intel Announces 12,000 Layoffs, Confronts Decline In PCs
Intel Corporation announced a new round of layoffs Tuesday -- this time, 11 percent of its global workforce will be affected.
Citing a need to streamline its operations for global growth, technology giant Intel announced 12,000 employee layoffs by mid 2017. The majority of the job reductions will take place in the next 60 days.
The announcement came as the company reported lower-than-expected sales for the first quarter. Industry analysts say an extended slide in global PC sales is showing no signs of leveling off.
Intel, which has long been the world's leading maker of PC chips, is now trying to expand into other types of computing.
"It's time to make this transition," CEO Brian Krzanich told analysts. While calling the job cuts "difficult," he said they would help the company sharpen its focus in new areas.
No word yet on where the layoffs will take place. The company’s Chandler, Arizona, location is its second largest U.S. location. And Intel is the largest employer in Chandler, established there in 1980.
The Associated Press contributed to this report.