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AMD to Cut 10% of WorkforcePOSTED April 8, 2008 SUNNYVALE -- AMD announced that it expects revenue for the first quarter ended March 29, 2008 to be approximately $1.5 billion, a 22 percent increase compared to the first quarter of 2007, and down 15 percent compared to the fourth quarter of 2007. The decrease is due to lower than expected sales across all business segments. AMD had previously anticipated first quarter revenue to decline in line with seasonality. AMD is the second-largest maker of chips for computers and electronic devices but has struggled in competition against industry giant Intel. To reduce costs, AMD announced plans to cut its workforce by approximately 10 percent by the end of the third quarter of 2008. AMD employs over 16,000 people so the job cuts will be at least 1,600. As a result of these reductions, AMD expects to record a restructuring
charge in the second quarter of 2008. At the time of this release,
AMD is unable to determine the estimated amount of the charge
as the details are still being finalized. © Copyright SVDaily.com |
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