Intel Corp., a major semiconductor manufacturer with a sizable Chandler campus, plans to cut more than 20% of its national workforce. That's according to Bloomberg News, citing unnamed sources. The layoffs, according to the report, would be part of a strategy to streamline operations, reduce inefficiencies, trim payroll costs and refocus on an engineering culture.

The Bloomberg report didn't cite a possible Arizona jobs impact.

It was the second significant rumor for Intel in recent weeks. The first asserted that the company was in talks to make chips with Taiwan Semiconductor Manufacturing Co. , which is building a $165 billion complex in northwest Phoenix and employs about 3,000 people here. But that company’s CEO, C.C. Wei, quashed those rumors during an earnings call the week of April 14 .

The layoffs would be a significant development under Intel's new CEO, Lip-Bu Tan.

How many people in Arizona work at Intel?

Intel, historically one of Arizona’s largest employers, counted about 13,000 workers as of last September, when The Republic produced its special report on the largest statewide employers . A more recent tally pegged Intel’s Arizona workforce closer to 12,000 people. Intel counted about 109,000 employees at the end of 2024.

Is Intel in financial trouble? Why are layoffs rumored?

Intel, headquartered in California’s Silicon Valley, reports its first quarter earnings on April 23. It lost a staggering $18.8 billion in 2024 on $53.1 billion in revenue. Intel has struggled to remain viable against tough competition, utilizing new technology, including that devoted to mobile devices and artificial intelligence, with underinvestment in key growth sectors.

How did markets react to news of possible Intel layoffs?

Intel's stock rose on the layoff report but had dropped 47% from its 52-week high through the market's close on April 23.

Didn't the government just spend billions on Intel?

The company received about $7.9 billion in federal grants under the Biden-era CHIPS and Science Act, which also granted $6.6 billion to TSMC.

Last year, Biden announced a preliminary grant during a much-hyped tour of Intel’s expanding complex in Chandler .

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