AMD Plans to Cut 1,400 Jobs
Advanced Micro Devices Inc. announced Thursday plans to cut 10% of its workforce, or rather 1,400 jobs.
AMD, located in Sunnyvale, CA, said the cuts will trigger about $105 million in restructuring changes, and save more than $200 million in operating costs, reports Wall Street Journal. AMD plans to invest the savings into newer business areas, including chip devices such as tablet-style computers, in emerging markets and internet-related opportunities known as cloud computing.
“There is no question it is difficult to see our friends and co-workers move on,” said Rory Read, the company’s newly appointed chief executive officer.
He further added that the company has to “rebalance” skill inside the company to target new business areas. “If we do not take action now, we will miss these opportunities and be squeezed out,” said Read.
The job cuts, according to AMD, are expected to be completed by the end of the first quarter.