Qualcomm is cutting over 1,200 jobs due to market slowdown

Qualcomm will cut 1,258 jobs in two offices in California, filings with the California Employment Development Department revealed. The chip company revealed 1,064 jobs will be eliminated in San Diego, where the HQ is, and 194 more in the Santa Clara offices.

Qualcomm currently has over 51,000 employees, so it's letting go 2.5% of its workforce. The main reason for the job cuts is a decline in revenue after a sluggish chip business in the company's third fiscal quarter.

Cristiano Amon, President of Qualcomm

The jobs will be vacated by December 13 and further restructuring changes will happen, Qualcomm revealed in the filing. These actions will be incurred in the fourth quarter of fiscal 2023, which is the beginning of calendar 2024.

Qualcomm is facing dwindling revenues amidst “a continued uncertainty in the macroeconomic and demand environment”.

Last month, the analyst Ming-Chi Kuo revealed Qualcomm could lose a major client in the face of Huawei; the Chinese maker bought over 40 million SoC in 2023 but is shifting towards local partners for 2024 and beyond.

Source | Via