Micron to cut 10% of jobs in 2023 due to 'supply-demand mismatch'
Chipmaker Micron Technology is taking significant steps to reduce costs and operating expenses. This will include select product program reductions and job cuts.
Furthermore, Micron also expects a steeper-than-expected second-quarter loss, citing a "significant supply demand mismatch" in the semiconductor market.
"Due to the significant supply demand mismatch entering calendar 2023, we expect that profitability will remain challenged throughout 2023. The timing of the recovery in profitability will be driven by the rate and pace at which supply and demand are brought into balance and inventories are normalized across the supply chain," Micron chief executive Sanjay Mehrotra said during the company's Q1 2023 earnings call.
Executive salaries are also being cut for the remainder of fiscal 2023, and over the course of calendar year 2023, the chip manufacturer is reducing its headcount by approximately 10% through a combination of voluntary attrition and personnel reductions.