Intel 'working through further details' to understand Irish impact as chipmaker cuts 15% of workforce 

Intel said it would cut 15% of its workforce and will suspend its dividend in the fourth quarter as the chipmaker pursues a turnaround centred around its loss-making manufacturing business.(AP Photo/Richard Drew, File)

Intel has said it is working through further details to understand the impact of its cost-cutting measures in Ireland, with the US chipmaker giant announcing on Thursday that it would slash 15% of its global workforce.

Speaking to the Irish Examiner, a spokesperson for Intel said: "The number of impacted jobs will vary across each Business Unit and in each region. We are working through further details to understand the impact in Ireland." 

The spokesperson added that Intel is not disclosing a number right now in relation to the impact in Ireland.

Intel employs some 4,900 people in Ireland, making it one of the State's largest employers. Opening here in 1989, Intel has bases in Leixlip and Shannon and has invested more than €30bn in Ireland since its establishment 35 years ago, the company said.

Intel said it would cut 15% of its workforce and will suspend its dividend in the fourth quarter as the chipmaker pursues a turnaround centred around its loss-making manufacturing business.

A 15% cut to Intel's Irish workforce would equate to more than 700 jobs.

Intel reduced its workforce by about 5% last year to 124,800, after announcing job cuts beginning in October 2022. It has also slowed spending in other areas. The company expected those cost reductions would save as much as $10bn (€9.2bn) by 2025.

Despite its size, Intel's Irish base was largely unaffected by last year's cost reduction measures, with just 130 jobs cut as a result.

Announcing its results yesterday, the company also set out plans to cut operating expenses and reduce capital expenditure of more than $10bn (€9.3bn) in 2025 compared to previous estimates.

A key force in the PC revolution, Intel is now trailing Nvidia in the booming artificial intelligence processor market while its data centre business is facing threats from a resurgent AMD.