Tech Job Cuts: Intel to Cut 25,000 Jobs, Targets 75,000 Workforce by End 2025

Intel to downsize its global workforce, aiming to reduce employee count to 75,000 by the end of 2025, as per news reports. This restructuring effort follows a challenging financial year and is designed to improve efficiency, cut costs, and reposition the company competitively in the global chip industry.

Intel Initiates Major Workforce Reduction 

Intel's announcement reveals its intention to trim more than 25,000 jobs by the end of 2025. Starting from a base of 108,900 employees at the end of the previous year, this reflects a reduction of approximately 31%. As of July, about 15,000 positions have already been eliminated, with the process continuing throughout the year to meet the announced target.

Strategic Moves to Reduce Operating Expenses

The company aims to bring annual operating expenses down to $17 billion in 2025, compared to the earlier projection of $17.5 billion. By 2026, Intel plans to cut this further to $16 billion. The job reductions are a key component of the broader cost-cutting effort, along with cancellations and delays in global infrastructure projects.

Project Cancellations Across Europe and Slowdown in the US

As part of cost optimisation, Intel is halting plans for new factories in Germany and Poland. In the US, construction at an Ohio site has been slowed, while its Costa Rica operations are being consolidated into larger, cost-efficient facilities in Vietnam and Malaysia. These shifts highlight Intel’s focus on maximising supply chain and manufacturing efficiencies through strategic regional adjustments.

Read More: Microsoft to Slash 9,000 Jobs in Second Major Layoff Wave!

Financial Pressure Behind the Decision

In Q2 2025, Intel reported a net loss of $2.9 billion, largely impacted by restructuring costs. While revenues stayed nearly flat at $12.9 billion, they slightly surpassed market expectations. Intel anticipates continued losses into the next quarter, with revenue projected between $12.6 billion and $13.6 billion.

Conclusion

Intel’s decision to reduce its workforce by 25,000 by end-2025 underlines the company’s efforts to regain control over its cost structure and remain competitive in the global semiconductor space. With factory plans stalled in Europe and a shift in operations to Asia, Intel is undergoing a significant transformation both organisationally and geographically.

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