Intel is planning to cut 20 percent of its workforce, a decision that could see around 20,000 people laid off from the company.

Citing a person familiar with the matter, Bloomberg reported that the move is part of a restructuring initiative spearheaded by newly appointed CEO Lip-Bu Tan, who is looking to streamline Intel’s management and make engineering the key focus of the company.

In response to a request for comment from DCD, Intel said it does not “comment on rumors or speculation, and so will not be providing a comment on this.”

If confirmed, this would be the second round of mass layoffs faced by Intel employees in the last 12 months, with the company having laid off 15,000 workers in the second half of 2024 following heavy financial losses.

Tan was appointed CEO of Intel in March 2025, following the sudden departure of former CEO Pat Gelsinger, who announced his ‘retirement’ from the chipmaker in early December 2024, having failed to enact his plans to expand its global chip fabrication footprint.

Prior to his appointment, Tan stepped down from Intel’s board in August 2024 after reportedly clashing with Gelsinger over his management of the company, included his reported belief that Intel should cut even more jobs than the 15,000 announced by the company.

Earlier this week, Tan sent a memo to Intel employees, in which he detailed a number of changes to Intel’s reporting structure and announced Sachin Katti, SVP and GM of Intel’s networking and Edge group, had been appointed the new technology and AI executive.

According to the memo, in his new role, Katti will be “expanding his responsibilities to include the role of chief technology and AI officer for the company,” Reuters reported. “As part of this, he will lead our overall AI strategy and AI product roadmap, as well as Intel Labs and our relationships with the startup and developer ecosystems.”

Intel will announce its Q1 2025 results later this week (April 24).