A US-based company, onsemi that creates intelligent power and sensing technologies has decided to trim its global workforce by 2,400 this year. The trimming will impact about nine per cent of the onsemi team worldwide.
The chip manufacturer is on a mission to cut costs, and these layoffs are expected to save the company $105m to $115m annually.
The job cuts will impact all its business divisions across the 33 countries that onsemi operates in.
The firm’s Bangalore India Development Centre (BIDC) was established in November 2009 through the acquisition of PulseCore Semiconductor. However, it is not officially known as to how much of an impact the BIDC will experience in this round of layoffs.
The company’s global headcount stood at about 26,400 in December 2024.
Given the uncertain economic environment, it is not surprising that the demand for onsemi’s automotive chips has suffered. It posted a revenue of $1.72 billion as against the estimated $1.76 billion in Q4.
Hassane El-Khoury, president and CEO, onsemi, mentioned in a press release earlier this month that the company remains “committed to our long-term strategy. We will maintain our financial discipline, streamline our operations and continue to deliver high-value, differentiated intelligent power and sensing solutions that position onsemi to emerge even stronger.”
According to El-Khoury, the job cuts will not impact research and development. The company, however, intends to stall some of its expansion projects, as per media reports.
