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Intel to cut 5,000 jobs...
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Post Original de xVeinx  Intel to cut about 5,000 to 6,000 jobs; some workers may be offered jobs elsewhere in the company. Source Wall Street Journal: Updated with link soon. |
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Post Original de Face Intel planning to cut 5,000 to 6,000 jobs, close facilities Intel warns it may post it first loss in almost 22 years |
Intel may post a loss for this quarter
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Last quarter's financial results weren't exactly a cause for celebration at Intel, but things could sour even more this quarter. Bloomberg has nabbed an internal Intel memo in which CEO Paul Otellini warns that the chipmaker might actually lose money in Q1: "We are not going to wake up in six months with everything rosy again," Chief Executive Officer Paul Otellini told employees last week in an internal memo obtained by Bloomberg News. After 87 quarters of profit, the first quarter is "too close to call," the memo said. Bloomberg comments that shrinking demand has forced Intel to run factories below capacity. We also saw the company cut prices across its processor lineup (mainly Core 2 Quads and dual-core Pentiums) on Monday, which should trim its gross margin a little. Unlike AMD, Intel has managed to weather the financial crisis without posting losses so far. Nevertheless, Intel's latest results marked huge drops compared to the year before: the company posted profits of $234 million on revenue of $8.2 billion for Q4 2008, down from a respective $2.3 billion and $10.7 billion in Q4 2007. The company expects Q1 '09 revenue to slump to $7 billion. (Thanks to TR reader Carl for the heads-up.) |
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