Intel continues to back down from its manufacturing projects

Lip-Bau, CEO of Intel, is making a progress of the company to throw shortcomings. This includes jamming on many manufacturing projects.

On Thursday, the semiconductor giant informed the profit report in the second quarter that it will delay, and in some cases, she does not move forward with multiple manufacturing projects. Specifically, Intel said she was no longer moving forward in her previously announced projects in Germany and Poland. These projects included a collection and testing facility in Poland and a chips factory in Germany. Both projects have been sitting in forgetting since its comment in 2024, Soon after the advertisement.

The company also plans to unify its test operations in Costa Rica and focus these operations on its locations in Vietnam and Malaysia.

“Unfortunately, the investment of the capabilities that we make during the past few years was applying to the demand and was unknown and excessive.” “Our factory imprint has become unnecessarily fragmented. Capex Lockstep With concrete monuments, not before. “

Intel also said that it would increase its delay in its factory in Ohio, which amounted to $ 28 billion. The factory was supposed to open at the beginning in 2025, and it was already It was once late this year in February.

The second quarter was the full first quarter with Tan on the head of Intel. Nomadic CEO of the semiconductor company on March 12 The role began a week later. Soon after, Tan said his plan was Eliminate shortcomings In the company by selling its non -basic units and simplification operations.

“We have a lot of work to be done in building a clean and simplified organization, which we started seriously, and the focus remains for me during the third quarter,” Tan said in the Q2 profit call. “Our goal is to reduce inefficiency and repetition and increase accountability at every level of the company.”

The company also presented an update on its working power, which has passed through several rounds of workers’ demobilization. The company said that Intel reduced the workforce by about 15 % and plans to end the year with 75,000 employees. Tan said that Intel was able to eliminate 50 % of the management layers through its last layoff.

Intel announced in June in an internal note that you will go to 15 % to 20 % break Of the workers in the Intel Missing Unit, which designs and manufacturing chips for external clients. The company had 108,900 employees at the end of 2024, according to the company The annual report It was presented with the Securities and Stock Exchange Committee. This fell from 124,800 people worked at the end of 2023.