Intel sells its stake in Arm
As previously reported, Intel has announced a 15% reduction in its workforce affecting approximately 15,000 employees. The company wants to deliver USD 10 billion in cost savings in 2025. Now the US company has sold its 1.18 million share stake in Arm Holdings.
Intel's sale of its 1.18 million share stake in the UK chip firm was disclosed in a regulatory filing, Reuters report. According to the news agency's calculations, the sale would have raised about USD 146.7 million from the sale, based on the average price of Arm's stock between April and June.
Both Arm and Intel have declined to comment on the matter.
Intel is currently looking to transform itself. In a note to employees after second-quarter 2024 earnings were published, Intel CEO Pat Gelsinger said that "beyond our costs, we need to change the way we operate".
"There’s too much complexity, so we need to both automate and simplify processes. It takes too long for decisions to be made, so we need to eliminate bureaucracy. And there’s too much inefficiency in the system, so we need to expedite workflows."
In the note, the CEO lists the actions the company is taking to make Intel a leaner, simpler and more agile company. The key priorities are to reduce operational costs, simplify the portfolio, eliminate complexity, reduce capital and other costs, and suspend dividends, while still maintaining its growth investments
