The fixed Intel decline continues with a 15 % reduction for employees and settling plans

Intel CEO of Lip-Bu Tan told employees in an employee note yesterday that the company is planning to reduce its operating power by about 15 %-more than 25,000 jobs-to sleep to end the year with about 75,000 employees worldwide. Discounts are part of the struggling chips maker’s efforts to change matters and compete in the prosperous artificial intelligence market.

Intel is not alone between the giants of the Silicon Valley that reduces jobs because artificial intelligence becomes a greater priority. Meta announced that it was cut off 5 % of its employees in January. Google offers Operations of acquisitions. Even the CEO of Microsoft Satia Nadila addressed in a note at the company level what he called “”The puzzle of success“Noting how the company flourishes financially with record profits, it applies 9,000 workers earlier this month

But unlike those companies, Intel does not flourish. The dominant chips maker has been stuck in recent years, the loss of the smartphone boom and the late arrival to the artificial intelligence race. On Wednesday, she reported her sixth successive loss in a row.

Tan wrote in note.

In addition to the demobilization of workers, Intel cancels plans for new factories in Germany and Poland. Tan also said that the company will slow the construction of a major chips in Ohio “to ensure spending compatibility with the demand.” The Wall Street Journal reported It was originally expected that the facility will be completed by the end of this year, but it is now possible that it will end even after 2030.

Meanwhile, Intel is running in the latest chip industry technology, Intel 18A. This process is designed to produce advanced chips like Panther Lake, the exact processor of the next generation of Intel, is expected to be launched later this year.

Upon looking forward, Tan said that INTEL will develop the following main process knot, Intel 14A, from A to Z in close cooperation with external customers. The idea is only working on projects that have a clear demand.

“There are no more empty checks. Every investment must have an economic meaning. We will build what our customers need, when they need them, and gain their confidence through consistent implementation,” he wrote.

As much as the aspirations of artificial intelligence, Intel plans to develop a coherent strategy – not only chips, but also programs and systems to support them. The focus will be on the fields that Intel believes can emerge from the most firm competitors. One of these is inference, as artificial intelligence models apply what they have learned to make decisions or predictions in the actual time. Another is Agentic AI, where systems are designed to work independently and take action on their own.

Tan wrote: “Our starting point will be emerging from the burdens of Amnesty International’s work – then we will work back to design programs, systems and silicon that enable the best results of customers,” Tan wrote.

If Intel can withdraw this transformation or if it is too late, there is still what is expected.