Overview

• Intel confirmed plans for significant workforce reductions, potentially impacting around 20,000 employees, with a focus on management roles.
• Operating expenses for 2025 will be reduced from $17.5 billion to $17 billion, with further cuts to $16 billion planned for 2026.
• Capital expenditures for 2025 are being cut by $2 billion to $18 billion, with delays to major fabrication projects in Magdeburg, Germany, and Ohio, USA.
• The company issued a Q2 revenue forecast of $11.2–12.4 billion, below analysts’ expectations of $12.8 billion, leading to a 5% drop in after-hours stock trading.
• Intel continues to face mounting competition, with Nvidia dominating AI chips and AMD surpassing Intel in PC and server processors.