Intel to announce over 20% job cuts this week? Report says major restructuring underway by new CEO Lip-Bu Tan — Details | Company Business News

Tech giant Intel Corporation plans to announce layoffs sometime this week, as per a Bloomberg report citing a source. The job cuts would entail reducing workforce by over 20 per cent to “eliminate bureaucracy”, the source added.

The chip major is reportedly undergoing major restructuring under new CEO Lip-Bu Tan, and the Intel layoffs aim to “streamline management and rebuild an engineering-driven culture”, the source said. Tan took over in March 2025.

A representative for Intel declined to answer queries, the report said.

Layoffs at Intel? Source Says 20% Jobs Soon

The report said that more than 20 per cent Intel jobs will be cut in a bid to turnaround the struggling chipmaker as Tan aims to take on rivals after years of trailing behind Nvidia on artificial intelligence (AI) chips.

This is not the first time Intel has undertaken job cuts to improve its situation. In August 2024, as many as 15,000 employees were laid off taking the company’s total strength to 1,08,900 till the end of the year. In the previous year, 2023, Intel had a total of 124,800 employees.

What is Intel CEO Lip-Bu Tan’s Strategy?

The Santa Clara-based legacy chipmaker has reported three consecutive years of declining sales and red numbers as it has lost out on technological leaps to Nvidia. Tan, who was brought on last month, has vowed to “spin off Intel assets that aren’t central to its mission and create more compelling products”.

“Intel needs to replace the engineering talent it has lost, improve its balance sheet and better attune manufacturing processes to the needs of potential customers,” Tan, a veteran of Cadence Design Systems Inc., said at the Intel Vision conference in March.

Following Tan’s vision, last week, the company announced it will sell a 51 per cent stake in its programmable chips unit Altera to Silver Lake Management.

Notably, Intel is set to report its Q1 earnings results on Thursday, April 24.

(With inputs from Bloomberg)