HardwareAMD is firing 4% of its global workforce as it realigns in likely pursuit of all those AI dollarsWhen you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
HardwareAMD is firing 4% of its global workforce as it realigns in likely pursuit of all those AI dollarsWhen you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
When you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
(Image credit: AMD)
AMD has reportedly confirmed plans to lay off fully 4% of its global workforce. A 2023 estimate put AMD’s workforce at 26,000, so the firings look set to impact around 1,000 AMD employees.
AMD was approached about the reports and confirmed that 4% of the global workforce was being let go. The company said the layoffs were due to “aligning our resources with our largest growth opportunities.”
Taken at face value, the largest and most obvious “opportunity” for AMD is AI. So, the implication is that AMD is likely realigning resources for a more concerted assault on Nvidia’s dominance in the megabucks datacenter GPU market.
Beyond that, the specifics aren’t clear. We don’t know whether any particular teams have taken the brunt of the layoffs or whether the axe has fallen more evenly across AMD’s operations.
Worryingly, one obvious candidate for cuts might be gaming. At last count, AMD’s gaming division, which includes PC graphics and custom chips for games consoles like Xbox and PS5,amounted to just 6.8% of AMD’s overall revenues, and shrinking fast. At the very least, gaming hardly seems like one of AMD’s “largest growth opportunities”.
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As I write these words, AMD’s share price is down from a recent peak of $166 on October 29 to $140 right now, a hefty 15% drop.
Of course, when it comes to layoffs, Intel has AMD thoroughly licked. In August, Intel revealed plans tolay off no fewer than 15,000 employees. Of course, Intel had a much larger initial employee base to begin with. So that amounted to 15% of its workforce. Still a major chunk, but not quite the decimation that 15,000 would represent in the context of AMD’s 26,000-strong workforce.
Anyway, layoffs are truly horrible news for those directly involved, even if they are on occasion necessary. Here’s hoping AMD doesn’t need to let any more staff go and the “realignment” achieves the company’s aims.
Best CPU for gaming: Top chips from Intel and AMD.Best gaming motherboard: The right boards.Best graphics card: Your perfect pixel-pusher awaits.Best SSD for gaming: Get into the game first.
Best CPU for gaming: Top chips from Intel and AMD.Best gaming motherboard: The right boards.Best graphics card: Your perfect pixel-pusher awaits.Best SSD for gaming: Get into the game first.
Best CPU for gaming: Top chips from Intel and AMD.Best gaming motherboard: The right boards.Best graphics card: Your perfect pixel-pusher awaits.Best SSD for gaming: Get into the game first.
Best CPU for gaming: Top chips from Intel and AMD.Best gaming motherboard: The right boards.Best graphics card: Your perfect pixel-pusher awaits.Best SSD for gaming: Get into the game first.
Best CPU for gaming: Top chips from Intel and AMD.Best gaming motherboard: The right boards.Best graphics card: Your perfect pixel-pusher awaits.Best SSD for gaming: Get into the game first.
Best CPU for gaming: Top chips from Intel and AMD.Best gaming motherboard: The right boards.Best graphics card: Your perfect pixel-pusher awaits.Best SSD for gaming: Get into the game first.
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