Latest news with #IntelFoundry
Yahoo
a day ago
- Business
- Yahoo
Intel hosts Direct Connect Asia event in Seoul — company tries to lure Samsung Foundry clients in its own backyard
When you buy through links on our articles, Future and its syndication partners may earn a commission. Being significantly behind TSMC in terms of foundry market share, for Intel Foundry, it makes sense to focus on competing against a smaller rival, Samsung Foundry. To that end, the company is trying to attract customers who currently rely on production at Samsung Foundry. This week, Intel held its Direct Connect Asia event in Seoul, Korea, trying to connect with potential customers from the region, reports The Bell (via Jukan Choi). Intel Foundry's Direct Connect is an event that is similar to TSMC's Technology Symposium and Samsung's Foundry Forum, designed to reveal information about the latest and upcoming process technologies. The Direct Connect Asia in Seoul was the first time the event has been held outside the U.S., which highlights Intel's interest in attracting customers outside of the U.S., but emphasizes that the company pays particular attention to South Korea-based companies that have traditionally relied on Samsung Foundry. The event was attended by numerous domestic and international fabless companies as well as ecosystem partners working together with Intel Foundry, including Arm, Cadence, Synopsys, and Rambus. Among the notable attendees were DeepX, Hyundai Mobis (an auto parts company that is a member of Hyundai Motor Group), LG Electronics, Preferred Networks, Rebellions, SK hynix, and even Samsung LSI. These companies are currently customers of Samsung Foundry, TSMC, or UMC (or all of them), so their attendance is presumed to be for the purpose of exploring supply chain diversification. For example, Samsung tends to build advanced chips in-house, but it outsources some of the simplest ICs that are made on mature nodes, such as display driver ICs (DDICs). It should be noted that both SK hynix and Samsung may also be interested in producing base dies for HBM4 memory at Intel Foundry in a bid to appeal to customers that plan to use Intel Foundry's advanced packaging services. Intel is also trying to win new customers in the growing automotive semiconductor sector in a bid to diversify its business portfolio, which is heavily focused on client PCs and servers. Therefore, it summoned Korean automotive semiconductor companies like Hyundai Mobis, BOS Semiconductors, and LX Semicon to its Direct Connect event in Seoul. It is noteworthy that, for now, Intel does not have specialized process technologies for the automotive industry, though this might change in the future. TSMC commanded 35.3% of the so-called Foundry 2.0 market (which includes mask creation, chip production, and packaging) in Q1 2025, according to Counterpoint Research. Intel was significantly behind with 6.5%, whereas Samsung Foundry's share was 5.9%. Given that TSMC is so much bigger than Intel on the foundry market, it is no surprise that Intel is trying to address Samsung's clients first. Follow Tom's Hardware on Google News to get our up-to-date news, analysis, and reviews in your feeds. Make sure to click the Follow button. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Automotive
- Yahoo
Intel hits the brakes on its automotive business, and layoffs have started
Intel is shuttering its automotive architecture business and laying off most of its staff as part of a broader restructuring at the chipmaker. The news was first reported by The Oregonian/Oregon Live, which cited an internal memo that was shared with employees Tuesday morning. Intel confirmed to TechCrunch that plans to wind down the auto business were communicated internally on Tuesday. 'As we have said previously, we are refocusing on our core client and data center portfolio to strengthen our product offerings and meet the needs of our customers,' according to a company statement provided by spokesperson Cory Pforzheimer. 'As part of this work, we have decided to wind down the automotive business within our client computing group. We are committed to ensuring a smooth transition for our customers.' Pforzheimer said the company does not disclose the number of affected employees based on specific region, location, or business. Intel's automotive business might not be the dominant revenue generator at the semiconductor company, but the division has been active in automated vehicle technology and the emerging trend of so-called 'software-defined vehicles.' Intel made numerous multi-million investments in automotive, particularly during the heady and early days of autonomous vehicle tech that kicked off around 2015. Back then, the company's venture arm committed to invest $250 million into automotive tech. Its profile was lifted after Intel acquired Mobileye in 2017 for $15.3 billion in a bid to expand its self-driving tech. Mobileye would later spin out as a standalone publicly traded company, in which Intel is a major shareholder. In 2020, Intel's automotive business acquired Moovit in a deal that valued the Israeli startup at $900 million. The layoffs come six months since Intel's automotive business showcased its technology at the global tech trade show CES 2025. Intel Automotive, while not one of the company's dominate businesses, has tried to sell automakers on its software-defined vehicle technology, which included an AI-enhanced system-on-chip designed for vehicles and set for production by the end of 2025. The company debuted the SoC at the Shanghai Auto Show in April. But the division's future looked shaky by April — even as it met with Chinese automakers at the Shanghai Auto Show — when new CEO Lip-Bu Tan warned Intel employees of layoffs across the company due to falling sales and a dim outlook. Earlier this month, the company said it planned to lay off 15% to 20% of workers in its Intel Foundry division starting in July. Intel Foundry designs, manufactures, and packages semiconductors for external clients. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
18-06-2025
- Business
- Yahoo
Intel Email Reveals Plan for Deep Factory Cuts
The Oregonian reported that chipmaker Intel plans to lay off up to 20% of its factory workforce, citing an internal email the publication says was verified by four employees. According to the report, Intel informed its employees that the cuts would begin taking effect in July and would impact factories worldwide. Most Read on IEN: Auto Giant Files for Bankruptcy, Blames Tariffs Ship Carrying 3,000 Vehicles Abandoned in Pacific Ocean Yaskawa Moving Headquarters from Illinois to Wisconsin PODCAST: Deere Clears the Air; Battery Factory Halted; P&G Cuts 7,000 Intel reportedly employed about 109,000 workers at the end of 2024, but it remains unclear how many work in Intel Foundry, the company's factory division. The unit's roles range from factory floor technicians to specialized researchers. Intel eliminated approximately 15,000 jobs last year through attrition, buyouts, early retirement offers and layoffs. However, according to The Oregonian, Chief Technology and Operations Officer Naga Chandrasekaran stated in the email that this round of job cuts will involve eliminating specific roles and levels, assessing skills for remaining positions and 'some hard decisions around our project investments.' Those projects include advancing its commercial semiconductor manufacturing and packaging projects in Oregon, New Mexico, Arizona, and Ohio as part of a plan to invest $100 billion in the U.S. However, the company recently postponed the opening of an Ohio factory, originally set to start operations this year. The company now plans to complete construction in 2030. Intel expected to receive $7.86 billion from the U.S. Department of Commerce under President Joe Biden's CHIPS and Science Act to help support the aforementioned projects. The Columbus Dispatch reported that, as of March, Intel has received $2.2 billion, with the remaining funding in question following Commerce Secretary Howard Lutnick's comments that President Donald Trump's administration was renegotiating Biden's grants. Reports of the latest job cuts come after an April Bloomberg report indicated that Intel planned to cut over 20% of its workforce. Intel officials did not confirm the Bloomberg report, but CEO Lip-Bu Tan said the company's strategy included streamlining the organization by eliminating management layers. Shortly after the Bloomberg report, Tan sent a company-wide email criticizing some Intel teams for having eight or more layers of management. He also commented that the company is 'seen as too slow, too complex and too set in our ways.' Click here to subscribe to our daily newsletter featuring breaking manufacturing industry news. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
18-06-2025
- Business
- Yahoo
Intel reportedly plans to cut factory workforce by up to 20%
US tech giant Intel is reportedly planning to reduce its factory workforce by 15% to 20%, impacting its manufacturing operations, reported OregonLive citing an internal memo. This decision, communicated by vice president Naga Chandrasekaran, aims to address the company's ongoing financial challenges. Layoffs are expected to begin in July 2025, following prior notifications to factory staff, the report said. While Intel has not specified the exact number of affected employees, the company had approximately 109,000 employees at the end of 2024, with a significant portion in its Intel Foundry division. The current layoffs could eliminate several thousand jobs, potentially exceeding 10,000. This follows a previous reduction of 15,000 positions across the company in 2024, including 3,000 in Oregon, where Intel employs around 20,000 individuals, the highest in the state. The layoffs are part of a broader strategy to streamline operations and enhance efficiency, the report added. Intel stated, "Removing organisational complexity and empowering our engineers will enable us to better serve the needs of our customers and strengthen our execution." These layoffs will not include voluntary buyouts, with decisions based on investment priorities and employee performance. Intel's recent challenges have been driven by declining sales and increased competition in the PC and data centre markets, alongside difficulties in developing advanced chips for AI applications. In a statement, Chandrasekaran said: "These are difficult actions but essential to meet our affordability challenges and current financial position of the company." In addition to the layoffs, Intel's expansion plans have faced delays, including the postponement of its Ohio factory opening until 2030. The company received $7.9bn in federal subsidies to support its operations, but much of this funding remains uncertain. In March 2025, Nvidia and Broadcom announced the testing of Intel's 18A process, which could result in contracts worth hundreds of millions. "Intel reportedly plans to cut factory workforce by up to 20%" was originally created and published by Verdict, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
18-06-2025
- Business
- Yahoo
Intel Foundry layoffs could impact 'more than 10,000' factory workers — one fifth of employees affected by 'enormous cutback'
When you buy through links on our articles, Future and its syndication partners may earn a commission. The first reports about Intel's plans to cut workforce in its manufacturing division starting mid-July emerged last Friday. However, the report lacked specifics, which appear to be quite dramatic as the chipmaker reportedly plans to eliminate between 15% to 20% of its Intel Foundry personnel, which will affect over 8,170-10,890 people globally, reports OregonLive. Naga Chandrasekaran, the head of Intel Foundry, informed staff that the layoffs are necessary to address cost-related challenges and the company's financial position. He stated that reductions would be guided by business priorities, individual evaluations, and decisions around which projects to continue funding. As of December 28, 2024, Intel's workforce comprised 108,900 people, down from around 124,800 people from the previous year. Intel's Silicon Forest Oregon facilities were not spared from layoffs last year, cutting approximately 3,000 jobs while still retaining roughly 20,000 employees. Intel has 15 wafer fabs in production worldwide at 10 locations. Intel does not disclose exactly how many of its employees work in production and related services, though the company says that approximately half of its workforce handles production or production services. The remaining half is distributed across R&D, design, sales, administrative roles, client, data center, and other business units. Keep in mind that other divisions are to face similar 15% to 20% cuts this year. Assuming that around 50% of Intel's personnel are involved in fab operations, that means around 54,450 people. Eliminating 15% to 20% of them means that from 8,170 to 10,890 personnel will be eliminated worldwide. Intel will not offer buyouts or voluntary departures this year, opting instead for selective terminations in an attempt to keep the best employees with the company, the report says. When the 2025 layoffs were announced this spring, the company emphasized that its intention was to reduce the number of management layers and bureaucracy within the company. However, the new report indicates that affected roles may span a range of positions, from technicians working directly on factory floors or under them to tool operators and support personnel. Key roles, such as engineers working on cutting-edge process technologies and skilled technicians managing EUV and High-NA EUV lithography equipment, are vital and unlikely to face layoffs. However, Intel may trim positions made redundant by automation or organizational efficiency. While reducing non-essential roles helps cut costs while maintaining critical expertise in the company, it may also reduce operational agility, slow responses to equipment problems, and increase pressure on remaining employees, which lowers morale and could result in costly downtime. OregonLive notes that federal and state funding are also in question. Intel secured $7.9 billion from the CHIPS Act, receiving $1 billion last year. But the rest of the subsidy package remains uncertain, as the new Trump administration is reviewing ongoing allocations. Separately, Oregon pledged $115 million in public funds, but those are conditional on meeting future hiring and tax revenue targets. If hiring or revenue projections are missed, state funding could be withdrawn. Follow Tom's Hardware on Google News to get our up-to-date news, analysis, and reviews in your feeds. Make sure to click the Follow button.
