Santa Clara-based Intel has been steadily reducing its workforce at the Folsom campus as the company struggles with an increasingly competitive AI market. Last week the company reported 2024 revenues of $53.1 billion, down from $54.2 billion in 2023.
“The market is becoming more competitive,” Michelle Johnston Holthaus, one of the company’s interim co-CEOs, told analysts. “We’re using it as motivation to up our game even more.”
According to a notice filed with the state, the company will cut 58 jobs at the Folsom campus over a two-week period, beginning March 31.
The company cut nearly 790 jobs at the Folsom site over the course of 2023, and in August announced a global plan to cut costs by $10 billion in 2025, in part by trimming more than 15 percent of its workforce by the end of next year. In November the company disclosed plans to sell the real estate of the Folsom campus and lease back a portion of the space.
The company said in a statement Tuesday that the latest reductions were part of the cost-savings plan announced in August.
“These are the most difficult decisions we ever make, and we are treating people with care and respect,” the statement read.
David Zinsner, the company’s CFO and interim co-CEO, said the company saw higher-than-expected demand in the fourth quarter of 2024, possibly due to customers’ stocking up in anticipation of tariffs.
Pat Gelsinger, who had served as the company’s CEO for less than four years, stepped down abruptly in December. The role is currently held by two interim co-CEOs. Intel employed 108,900 people worldwide at the end of 2024, down from 124,800 at the end of 2023.
