Intel has hit the brakes on the automotive business and layoffs have begun
Intel has shut down its automotive building business and has fired most of its staff as part of a broader restructuring at its chipmaker.
The news was first reported by Oregon/Oregon Live. I quoted an internal memo It was shared with employees Tuesday morning. Intel confirmed to TechCrunch that plans to remove the automotive business on Tuesday had been communicated internally.
“As I said before, we are refocusing our core clients and data center portfolios to enhance our product offering and meet our customers’ needs,” provided by spokesman Cory Pforzheimer. “As part of this work, we have decided to step down from the automotive business within the Client Computing Group. We are committed to ensuring a smooth transition for our customers.”
Pforzheimer said the company does not disclose the number of employees affected based on a particular region, location or business.
Intel’s automotive business may not be the dominant revenue generator for Semiconductor Company, but the division is aggressive in emerging trends in automated vehicle technology and so-called “software-defined vehicles.”
Intel has invested millions of millions of investments in cars, especially in the early days of self-driving car technology kicked off around 2015. At the time, the company’s venture arm was committed. Invest $250 million For automotive technology. That profile was then lifted Intel has acquired Mobileye In 2017, $15.3 billion was $15.3 billion to expand self-driving technology. Mobileye later spins out as a standalone public company where Intel is a major shareholder. Intel’s Automobile Business in 2020 Acquired Moovit In a deal valued at $900 million in Israeli startups.
The layoffs come six months after Intel’s automotive business introduced technology at the Global Technology Trade Show CES 2025. Intel Automotive is not one of the dominant companies in the company, but it sought to sell automakers with software-defined vehicle technology.
However, the future of the division looked volatile by April, even if they met with Chinese carmakers at the Shanghai Auto Show, but warned new CEO Lip-Bu Tan to in-house layoffs due to declining sales and a dim outlook.
The company said that earlier this month They planned to fire 15% to 20% of workers With the Intel Foundry Division, which will start in July. Intel Foundry designs, manufactures and packages semiconductors for external clients.