Intel Corp., Oregon’s largest private employer, is expected to begin laying off an unspecified number of employees on Monday, according to documents obtained by the Oregonian.
This isn’t unexpected as Intel is fighting the PC sales slump. In fact, they shorten the Broadwell lifecycle due to delays and now introduce Skylake at Computex 2015. The company’s first quarter financial results were dragged down by lower than expected desktop computer sales.
The market is now too focus on a niche group of users in overclocking and gaming which may not translate into sales. In order to reduce the impact, the company has been diversifying into mobile products with a focus on wearables, connected devices and the data center. Earlier this month the company made its boldest move in this direction when it acquired specialty chip maker Altera for nearly $17 billion.
The company declined to comment on layoff reports. There is no indication where cuts will occur.
The company has 106,700 employees globally and more than 17,000 at its Washington County operations.
INTC now trades at $31.39 up 7 cents at closing on 15 Jun 2015.