More Than Job Cuts for Intel Reboot

choi

Dan Gallagher, More Than Job Cuts for Intel Reboot. Wall Street Journal, Apr 21, 2016 (in the half page: Heard on the Street).
http://www.wsj.com/articles/inte ... job-cuts-1461172932

Quote:

"Over the past five years, Intel’s revenue has risen by a mere 2.5%. That is actually a rather deft performance considering global personal-computer sales have fallen 21% in that time, according to Gartner. But the size of Intel’s workforce had risen by 7%, and that was before the acquisition of Altera added a few more thousand employees to the rolls late last year.

"So its announcement that it will cut 12,000 workers has an air of inevitability. * * * Downsizing alone * * * doesn't solve Intel's challenges. * * * Chips used in data centers are a growing market, one that Intel dominates [and is Intel's second largest source of revenue. Still this segment is increasingly  facing challenges from Taiwan's white-box servers].