Is this true?
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This is likely the last 'mass' layoff that is going to happen for some time.
LBT is getting headcount down to a level that should ensure sustained profitability going forward.
But there are many follow on actions to be done, and those (will be designed to) not get much headlines. So many groups will see all manner of reductions and outsourcing over the next few years, as the Board restructures the company to be much smaller and focused.
There will also be asset sales, which will remove BB a block at a time.
It is going to leave a mark and is how they take the company from 75k this summer down to something like 40k.
Oregon too. Can't speak for the other sites but all the fabs have much more to be done.
In addition, most of the headquarters campus is supposedly up for sale, and Intel has been looking for equity partners to share ownership of some of the older fabs. Some will be sold to other foundries.
The strategy the Board has LBT working is to downsize the company sufficiently so that it can sustain profitability, cleaning up the balance sheet by selling assets and reducing headcount which does not drive profits.
Hardly radical stuff, it is just that the previous strategy was to hope revenues would pick up and make the cost structure not look so bad. Time ran out on that strategy.
Yes