Tech Sector Loses 27,000 Jobs in August

In August 2024, the tech industry saw over 27,000 job cuts across more than 40 companies, including major firms like Intel, Cisco, IBM, and Apple. Intel led the layoffs with 15,000 jobs cut as part of a $10 billion cost-reduction plan due to high costs and low margins, despite its historical leadership in CPU chip innovation. Cisco announced a reduction of 6,000 positions, or 7% of its global workforce, to focus on AI and cybersecurity, with CEO Chuck Robbins optimistic about future demand for networking equipment. IBM laid off over 1,000 employees by shutting down its research and development operations in China, while German chipmaker Infineon cut 1,400 jobs and relocated another 1,400 to lower-cost countries. Apple also laid off around 100 employees, primarily from its services group.