Disappointments at Intel. The tech giant is laying off 15,000 of its employees following unsatisfactory results. In response, INTC's stock price has plummeted. Here's what happened.
Intel lays off many employees
The decision came after the tech giant reported particularly disappointing second-quarter results. It lost 1% of its revenue year-on-year. In response, The company announced it would lay off 15,000 employees in hopes of saving $10 billion in expenses.
👉 Find our guide – How to buy Intel (INTC) shares? Detailed guide 2024
This corresponds to 15% of Intel's teams, so the wave of layoffs is particularly high. It is explained by the fact thatThe tech giant has failed to capitalize sufficiently on the development of artificial intelligence (AI)While some of its competitors have seen their revenues soar, that has not been the case for Intel.
Intel CEO Pat Gelsinger has expressed his regrets in an email to employees :
“This is the hardest thing I've ever done in my career. My promise is that we will prioritize a culture of honesty, openness, transparency and respect.”
Buy Stocks on eToro
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. You will never lose more than the amount you invest in each position. (learn more)
Intel (INTC) stock drops sharply
In a world where tech companies are gorging on AI excitement, the news was of course poorly received, because it highlights a lack of adaptation from IntelIn response, INTC shares fell:
Intel shares plummeted in an hour
INTC shares thus lost more than 20% in the space of an hour.one of the sharpest falls in its history. In the ranking of the most capitalized companies, Intel has just lost 11 places. For comparison, Nvidia, which had an opposite trajectory, had reported an increase in revenues of 88% in the first quarter of 2024.
🌐 On the same subject – “The new industrial revolution has begun” – Nvidia (NVDA) has become the most capitalized company in the world
The giant Intel is therefore in difficulty. A big challenge for it will beand better adapt to the rapid progression of technologies related to artificial intelligence.
Ledger: the best solution to protect your cryptocurrencies 🔒
Source: Intel
The #1 Crypto Newsletter 🍞
Receive a daily crypto news recap by email 👌
What you need to know about affiliate links. This page may feature investment-related assets, products, or services. Some links in this article may be affiliate links. This means that if you purchase a product or sign up for a site from this article, our partner pays us a commission. This allows us to continue to provide you with original and useful content. There is no impact on you and you can even get a bonus for using our links.
Investing in cryptocurrencies is risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers must do their own research before taking any action and only invest within the limits of their financial capacities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with a high return potential implies a high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of these savings. Do not invest if you are not prepared to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
A journalist at Cryptoast since 2017, I am passionate about the issues of decentralization, privacy and regulation. I specialize in traditional economics and finance, analyzing how news from this sector influences the cryptocurrency sector, offering a unique and informed perspective to Cryptoast readers.
Marine Debelloir
3080 articles
