Intel to close chip plants, 6,000 jobs losses expected


Intel to close chip plants, 6,000 jobs losses expected

Warwick Ashford

Intel is to close two chip manufacturing plants and two test facilities by the end of the year, with up to 6,000 job losses expected.

The closures are part of plans to "align manufacturing capacity to current market conditions", the chip maker said.


Special Reports

Recession with live stock updates

Redundancy with interactive map


Intel plans to close older US manufacturing plants at Hillsboro, Oregon and Santa Clara, California and test facilities in Malaysia and the Philippines.

The closures would affect between 5,000 and 6,000 employees worldwide, but some employees may be offered positions at other Intel facilities, the company said.

Intel last week said it made a $234m profit for the last three months of 2008, a 90% drop on the same quarter last year.

Making the earnings announcement, Intel said it would cut production levels to avoid oversupply and halt production at older plants.

For the full year, sales were down 2% and profits fell 24%. The bad figures were widely expected as Intel had issued two previous profit warnings for the period.

Email Alerts

Register now to receive IT-related news, guides and more, delivered to your inbox.
By submitting your personal information, you agree to receive emails regarding relevant products and special offers from TechTarget and its partners. You also agree that your personal information may be transferred and processed in the United States, and that you have read and agree to the Terms of Use and the Privacy Policy.

COMMENTS powered by Disqus  //  Commenting policy