The tech industry continues to face significant layoffs, with over 27,000 jobs being cut in August 2024. More than 40 companies, including major players like Intel, Cisco, IBM, and Apple, have reduced their workforce, alongside numerous smaller startups. This brings the total number of layoffs in the sector to over 136,000 this year, impacting 422 companies.
Intel
Facing a challenging period, Intel has announced 15,000 job cuts—over 15% of its workforce. This is part of a larger $10 billion cost-cutting initiative for 2025, prompted by a disappointing second-quarter earnings report. Between 2020 and 2023, Intel’s annual revenue fell by $24 billion, despite increasing its workforce by 10% during the same period. CEO Pat Gelsinger highlighted the importance of refocusing on revenue growth.
Cisco Systems
Cisco is laying off 6,000 employees, about 7% of its global workforce, as it shifts its focus to high-growth areas like AI and cybersecurity. This marks the company’s second major round of job cuts in 2024. CEO Chuck Robbins expressed optimism, stating that Cisco is restructuring to capitalize on emerging technologies and expects a rebound in demand for its networking equipment.
IBM
IBM is closing its research and development operations in China, resulting in over 1,000 job losses. The decision comes in response to declining demand for IT hardware and challenges in expanding within the Chinese market. However, IBM has assured customers that support within China will remain intact, with a focus on serving private enterprises and select multinationals.
GoPro
GoPro is cutting 15% of its staff, totaling around 140 employees, as part of a restructuring effort aimed at reducing operating expenses by $50 million for the fiscal year 2024.
Apple
Apple has laid off around 100 employees, mainly from its services group, which includes the Apple Books app and Apple Bookstore teams. Some engineering roles were also affected, as the company redirects its resources towards AI projects.
