Intel to fire several employees

18-Mar-2025

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Intel's incoming CEO Lip-Bu Tan has considered significant changes to its chip manufacturing methods and artificial intelligence strategies ahead of his return to the company on Mar 18, two people familiar with Tan's thinking told Reuters, in a sweeping bid to revive the ailing technology giant.

The new trajectory includes restructuring the company's approach to Artificial Intelligence and staff cuts to address what Tan views as a slow-moving and bloated middle management layer.

Revamping the company's manufacturing operations, which at one time only made chips for Intel but have been repurposed to make semiconductors for outside clients such as Nvidia, is one of Tan's core priorities, these sources said.

At a town hall meeting following his appointment as CEO last week, he told employees that the company will need to make "tough decisions," according to two other people briefed on the meeting.