Advanced Micro Devices Inc. (AMD) is cutting around 1,000 jobs, or about 4% of its workforce, as it shifts focus to newer markets, particularly artificial intelligence (AI) chips.
The company said in a statement on Wednesday that this decision is part of its strategy to align resources with the company’s largest growth opportunities, which will unfortunately result in a reduction of its global workforce by approximately 4%.
According to The Edge Singapore, a source familiar with the layoffs said the job cuts mainly affect sales and marketing roles, especially in the areas of consumer PCs and gaming PCs.
The cuts at AMD are part of a wider trend in Silicon Valley, where several major companies are reducing their workforces. Cisco Systems Inc. is cutting over 6,000 jobs, while Intel is reducing around 15% of its workforce, which exceeds 100,000 employees.
AMD has been investing heavily in artificial intelligence processors, a market largely led by Nvidia Corp, while also expanding further into data centres and corporate personal computers. Traditionally, the company has focused more on processors for consumer PCs, where it competes with Intel Corp.
The company, with main offices in Santa Clara, California, and Austin, is continuing to hire across other areas. The layoffs were first reported by CRN. /TISG
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