Intel Planning Major Restructuring

There are unconfirmed reports that Intel is planning a major reorganisation which could see jobs cut across the company. A US newspaper claims to have seen an internal Intel document which told employees that the company needs to reduce its overall spending in the second half of the year. Intel said it wants to keep its expenses flat in 2015, to match the company’s reduced revenue outlook for 2015.

In the first quarter, Intel reported that sales in its client computing division, which is Intel’s largest single reporting sector, were down 8.4% year on year, which was even lower than Intel had expected. At the time, Intel revised its outlook for fiscal 2015 from growth in the “mid-single digits percentage points” to no growth at all.