Qualcomm To Layoff 1,258 Employees In Two Locations, Experts State That U.S. Efforts To Suppress China Backfired And Is Affecting Firms
Qualcomm is said to trim its workforce by 2.5 percent, with the layoffs reportedly happening in its Santa Clara and San Diego offices. After previously laying off 415 employees, the chipset manufacturer is being forced to reduce its personnel headcount once more. Industry experts have commented that the comeback mounted by Huawei, along with the failed suppression efforts from the U.S. on China, has affected firms such as Qualcomm, and 2024 is not expected to make things any brighter.
Out of the 1,258 employees, CNBC reports that 1,064 of them stationed at the San Diego office will have their livelihoods cut short, while the Santa Clara region will see 194 jobs eliminated. Both facilities will remain functional, with the job cuts said to come into effect starting December 13. According to Global Times, Qualcomm has denied laying off employees in Shanghai but does mention that some adjustments are in order. The company provided CBNC with the following statement.
“Given the continued uncertainty in the macroeconomic and demand environment, we expect to take additional restructuring actions to enable continued investments in key growth and diversification opportunities. While we are in the process of developing our plans, we currently expect these actions to consist largely of workforce reductions, and in connection with any such actions we would expect to incur significant additional restructuring charges, a substantial portion of which we expect to incur in the fourth quarter of fiscal 2023. We currently anticipate these additional actions to be substantially completed in the first half of fiscal 2024.”
Though waning smartphone demand has had a deleterious effect on Qualcomm’s business, experts have commented that
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