Intel to cut over 5,000 jobs

  @hargreavesCNN January 17, 2014: 7:03 PM ET
intel job cuts

Chipmaker Intel said Friday it plans to reduce its global workforce by over 5,000 people over the next year.

The company says the cuts are in response to "evolving market trends."

Intel (INTC, Fortune 500) said it will trim about 5% of its 107,600 global workforce by the end of 2014 -- 5,380 jobs.

"This is not a layoff," said Intel Spokesman Chris Kraeuter. "It's not a giant, one time action. This is a target employment rate for the end of the year."

Kraeuter said the cuts will come as a result of people retiring, redeployments, or people leaving voluntarily.

"We're making decisions on how to design our resources to better meet the needs of our business," said Kraeuter.

Intel outlook is not too chipper

The news comes after the company announced lackluster earnings and guidance Thursday. Investors are anxious for the chipmaker to become less dependent on the slow growing personal computer market and more engaged in mobile technology.

For the year, Intel shares are up about 18%, while the broader electronic technology sector is up over 30%. To top of page

Join the Conversation

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.