With PCs on a free fall, the iPhone 7 and ARM entering data center. BK is already planning with HR to make layoffs looking less sneaky and more quiet than 2016.
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2017 will see 10nm annoucement of slips into 2018
14nm 3rd and 4th generation products will be sold snow balls to eskimos
5-8% drop in client Q on Q sales. BTS, holiday refresh, and spring refresh will be sleepers.
Phones will still be the only bright spot but dominated again by ARMy powered by Samsung and TSCM powered silicon
Expect to see stock peak at 37, then quickly fall to the mid twenties with more layoffs and considerably reduced benefits to those let go.
The impact of the election, BREXIT, China slowdown will me the additional 15K let go will find it much harder to get employed in the post election world wide paralysis.
Hope those at Intel have like two years of salary saved up, or a job ready to go by EOY... Good luck as it is UGLY...
As they should @4owv. (include mgrs and PEs) No one should be exempt.
Q1 next year will be a stressful time for old timers.
2017 layoffs will be more brutal and will include several managers and PEs
Yep. This is easy. If anyone actually believed Intel would stop at 12.6K laid off, they are stupid. Look for more to come, especially in TMG which has been do screwed up by BK and Sohail. Funny that an executive senior VP in most companies is responsible for bringing in billions of dollars in revenue. Sohail sits on his a-- and reviews white papers all day. Can we say he is severely unqualified for this position? Executive mgmt is complete joke.
@wte it is expected. TMG is run in a dictatorship style that penalizes new ideas. Management love all the a-- kissing and the yes men to compensate for their insecurities. Remember the guy that made the advance degree engineers sweep the floors and clean the equipment just cause he felt offended....waste of resources and stupidity.
Must s--- in FSM and the factories and especially in LTD work so hard and be at the bottom and get fired. Be at any other organization and work the same hours and you might be a superstar. Total failure of TMG management to do the right thing!
@kud - Agreed - this is a classic case study of business planning via consultant (BK/Bain) or via actually having a grasp of the macro/micro issues (Grove era). Ask any current FLM or below - there is not a single person who is at all happy. I used to think BK was a good person who had some idea of what to do, but I am thoroughly convinced he will run this company into the ground. GPTW is no longer valid - not even close.
Two years ago it was 2 out of 3 years stock, this year it was 'ONE' SL4 or worse. So pretty much next year you can expect all IR, SL4, SL5 will be gone. At a minimum that means 4-8% of EVERYorganization, even the most critical design and development teams will lose people. They say there are no forced distributions, but that is BS, every GM/VP is big enough that they need to meet distribution, and it is easiest to just force it all down to FLM.
So if you work in some of those organizations that work people 60-100 hours a week including weekends, beware even if you do a good job but are at the bottom of the distribution you'll be GONE next year!
This will be another case study of how to demoralize a talented organization.. BK'd
It's not a matter of if there will be layoffs, it's a matter of what deceitful tactics will they use to get rid of people?
@cth don't be naive if you really think EE means something to HR. It only meant you are good political ask kissers to your manager. Nobody gives a damn anymore for any real contributions at Intel.
@mdt: are you just guessing? How about somebody with EE with SSL4?
@wzj-Oregonian beat him too it once again before the Q1 results.
New criteria will include 2 consecutive SSL4 to get rid of those they couldn't in 2016.
I give him some credit this year, at least he announced the layoffs, unlike 2015.
"looking less sneaky and more quiet"
So, which one is it? I would think both sneakier and quieter, esp. if they need to layoff a large number (10K-20K as some posts suggest).
Probably the Oregonian. lol
Source?
This has been discussed weeks ago, BK and MCM already made plans with triggers based on growth ( or more accurately amount of drop ), margin and trigger points based on server lower bounds of growth. The numbers went from a few thousands to 2x current layoffs.. it will be UGLY.
No suprise but this time he needs to start walking his minions who are just as much as a failure has him.