AMD has confirmed plans to reduce its workforce by about 1,000 employees, or 4%, as part of a strategic shift toward high-growth sectors. This move follows a mixed performance in its Q3 earnings, where the company reported a 17% increase in revenue and a 34% rise in profits. However, its Q4 forecast of $7.5 billion fell below analysts' expectations, leading to a 13.6% drop in the company's stock price.
The layoffs are part of AMD's efforts to better align its resources with the most promising opportunities, especially in artificial intelligence, where it faces increasing competition from Intel.
At the same time, there’s growing speculation about a potential merger between Intel and AMD. The two companies recently appeared together at Lenovo Tech World, sparking rumors that a deeper collaboration—or even a merger—could be on the horizon. Although nothing has been confirmed, such a move would combine two of the biggest players in the semiconductor space, potentially reshaping the industry.
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