Intel Cuts 24,000 Jobs, Cancels Europe Projects in Global Overhaul

Intel Corp., under new CEO Lip-Bu Tan, is undergoing a major restructuring to revive its competitiveness amid fierce rivalry from Nvidia and AMD. The company plans to cut its core workforce from 99,500 at the end of 2024 to 75,000 by the end of 2025, eliminating roughly a quarter of its employees through layoffs and attrition, including cutting management layers. It is also scrapping expansion projects in Germany and Poland and consolidating operations in Costa Rica into larger facilities in Vietnam and Malaysia, while slowing construction of its Ohio semiconductor plant to better align with market demand. These moves are part of Intel's strategy to reduce operating expenses by $17 billion in 2025 and shift focus to AI chips and regaining market share in PC processors. Despite a $2.9 billion quarterly loss marking its sixth straight quarter in the red, Intel exceeded revenue expectations with $12.9 billion in Q2 2025. CEO Tan emphasized the need for economic discipline, stating that all investments must make economic sense as Intel aims to build a faster-moving, more agile organization focused on core products and AI offerings.