Menu
Amazon Kindle Voyage Rethinks the Reading Experience

Amazon Kindle Voyage Rethinks the Reading Experience

Mat Franco won America's Got Talent

Mat Franco won America's Got Talent

SpaceX and Boeing build manned NASA Spaceships

SpaceX and Boeing build manned NASA Spaceships

Matt Damon is Jason Bourne Again

Matt Damon is Jason Bourne Again

iPhone 6 Reviews are Glowing

iPhone 6 Reviews are Glowing

Slumping Intel to cut more than 5,000 jobs in 2014

Jan 17 2014, 5:51pm CST | by , in News

 
 

Intel aims to boost earnings by dumping more than 5,000 jobs in 5 pct reduction of workforce

SAN FRANCISCO (AP) — Intel plans to trim more than 5,000 jobs from its workforce this year in an effort to boost its earnings amid waning demand for its personal computer chips.

The Santa Clara, Calif., company confirmed the job cuts Friday, the day after Intel Corp. reported its profit and revenue had fallen for the second consecutive year.

The purge represents about 5 percent of the roughly 108,000 jobs that Intel had on its payroll at the end of December. The company intends to jettison the jobs without laying off workers, said Intel spokesman Bill Calder. The reductions instead will be achieved through attrition, buyouts and early retirement offers.

The company didn't estimate how much money it hopes to save by eliminating jobs. But Intel needs pare its expenses if it hopes to end a two-year slump that has seen its earnings fall from $12.9 billion in 2011 to $9.6 billion in 2013. Intel is forecasting its revenue this year will be about the same as in 2013, making it unlikely its profits can rise without cost cuts.

This marks Intel's first significant job cuts since a company insider, Bryan Krzanich, succeeded Paul Otellini as CEO eight months ago.

"We are constantly evaluating and realigning our resources to meet the needs of our business," Calder said.

Intel's financial performance is faltering because the company didn't adapt quickly enough as the growing popularity of smartphones and tablet computers undercut sales of PCs running on its chips. Worldwide PC sales have dropped from the previous year in seven consecutive quarters, an unprecedented decline.

The trend is a problem for Intel because most mobile devices don't rely on its processors.

As Intel has struggled to come up with a successful strategy for mobile computing, the company has turned into a stock market laggard.

Since Intel's stock hit a five-year high of $29.27 in May 2012, the shares have fallen by 12 percent. Meanwhile, the Standard & Poor's 500 index has climbed by 31 percent.

Intel's stock dropped 69 cents Friday to close at $25.85.

Source: AP

You Might Also Like

Updates

Shopping Deals

 
 
 

<a href="/latest_stories/all/all/30" rel="author">Associated Press</a>
The Associated Press (AP) is one of the largest and most trusted sources of independent newsgathering, supplying a steady stream of news to its members, international subscribers and commercial customers.

 

 

Comments

blog comments powered by Disqus

Latest stories

Samsung Galaxy S5 Camera fails to beat iPhone 6 Camera
Samsung Galaxy S5 Camera fails to beat iPhone 6 Camera
iPhone 6 and iPhone 6 Plus 8MP cameras show better results than that of 16MP camera of Samsung Galaxy S5.
 
 
Zombies with Bazookas Game Review
Zombies with Bazookas Game Review
Zombies with Bazookas is a game where gamers can get to rescue the survivors from the zombies using a helicopter. The gamers would face lots of obstacles while doing this. This is a funny game to play and can be played for a pass time. The game would not cause extra pressure in the minds of the gamers and the gamers would feel quite relaxed while playing the game.
 
 
See Jessica Biel in 7th Heaven Reunion
See Jessica Biel in 7th Heaven Reunion
The 7th Heaven cast got together for a family style dinner. See the fun photo below.
 
 
Ghost Ship salvaged from the vicinity of Golden Gate Bridge
Ghost Ship salvaged from the vicinity of Golden Gate Bridge
There has been many a ghost ship salvaged from the vicinity of Golden Gate Bridge.
 
 
 

About the Geek Mind

The “geek mind” is concerned with more than just the latest iPhone rumors, or which company will win the gaming console wars. I4U is concerned with more than just the latest photo shoot or other celebrity gossip.

The “geek mind” is concerned with life, in all its different forms and facets. The geek mind wants to know about societal and financial issues, both abroad and at home. If a Fortune 500 decides to raise their minimum wage, or any high priority news, the geek mind wants to know. The geek mind wants to know the top teams in the National Football League, or who’s likely to win the NBA Finals this coming year. The geek mind wants to know who the hottest new models are, or whether the newest blockbuster movie is worth seeing. The geek mind wants to know. The geek mind wants—needs—knowledge.

Read more about The Geek Mind.