Intel has reported a historical loss in its latest Q3 2024 financial earnings. The company claims the losses are ten times worse than Q2 which peaked at $1.6 billion. According to the report, Intel listed a staggering loss of $16.6 billion.
Intel says these losses are attributed to various restructurings at the company alongside the depreciation of old manufacturing assets as the company ceased production of its Intel 7 node. While the reported loss is high, Intel says revenue is actually up compared to last quarter so there’s light at the end of the tunnel.
The company is positive for the future as it claims the “majority” of its planned mass layoffs are over. Intel planned to reduce its workforce by 15% by cutting over 15,000 jobs across the globe. These layoffs were part of the company’s new $10 billion cost-saving plan for 2025.
However, the struggles aren’t over for Intel just yet. The company is still facing challenges when it comes to modern technology. Its latest Intel Core Ultra 200 Series chips aren’t tracking well due to their limited performance, heating issues and high power demands compared to AMD.
Intel is also focusing its efforts on AI with a new series of chips in both desktops and notebooks. However, with both AMD and Qualcomm in the race for AI, Intel is finding it difficult to gain traction.
The company is working on its 2025 chips already which it hopes will offer even more value to consumers and more AI performance than competitor brands. But it is still too early to tell how this will work out.
Source: Intel
