Intel To Lay Off 12,000 People Over Next Year

In this Tuesday, March 1, 2016, photo, Intel CEO Brian Krzanich appears on set of "America's Greatest Makers," a new reality TV challenge where teams of makers invent game-changing technology all for a chance at a $1 million prize at the Saticoy Studios in the Van Nuys neighborhood of Los Angeles. Krzanich believes the market for connected devices will grow immensely, from the roughly 6 billion smartphones today to some 50 billion smart devices by the end of the decade. The show, he hopes, will help his company's bottom line and electrify the entrepreneurial spirit of technology buffs. (AP Photo/Damian Dovarganes)
In this Tuesday, March 1, 2016, photo, Intel CEO Brian Krzanich appears on set of "America's Greatest Makers," a new reality TV challenge where teams of makers invent game-changing technology all for a chance at a $1... In this Tuesday, March 1, 2016, photo, Intel CEO Brian Krzanich appears on set of "America's Greatest Makers," a new reality TV challenge where teams of makers invent game-changing technology all for a chance at a $1 million prize at the Saticoy Studios in the Van Nuys neighborhood of Los Angeles. Krzanich believes the market for connected devices will grow immensely, from the roughly 6 billion smartphones today to some 50 billion smart devices by the end of the decade. The show, he hopes, will help his company's bottom line and electrify the entrepreneurial spirit of technology buffs. (AP Photo/Damian Dovarganes) MORE LESS
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SAN FRANCISCO (AP) — Intel says it will cut 12,000 jobs — about 11 percent of its workforce — as it reorganizes to confront a decline in sales of personal computers.

The chipmaker said the cuts will include “voluntary and involuntary departures” from its operations around the world. Most of the affected workers will be notified in the next 60 days.

Intel said the cuts will provide about $1.4 billion in annual savings by the time the cuts are completed next year.

The company, based in Santa Clara, California, is a leading supplier of computer chips, but PC sales have been declining steadily in recent years. It’s trying to focus on its most profitable lines of business, which include making processors for data center computers and Internet-connected gadgets.

Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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  1. OK, which talk show host is going to say that Obama is slashing jobs at the CIA?

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