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Layoffs awaits at AMD
AMD has announced plans to reduce its global workforce by approximately 4% as the company focuses on expanding its presence in the rapidly growing AI chip market, where Nvidia currently dominates.
The plans have been confirmed by several different media sites.
″As a part of aligning our resources with our largest growth opportunities, we are taking a number of targeted steps that will unfortunately result in reducing our global workforce by approximately 4%," an AMD spokesperson told CNBC in a statement.
As pointed out by Reuters, AMS intends to start mass production of a new version of its AI chip, the MI325X, in the fourth quarter of this year. Ramping production of AI chips is an expensive endeavour due to limited manufacturing capacity.
According to a SEC filing, AMD had 26,000 employees at the end of last year, implying that the upcoming layoffs will affect 1000 employees.
