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Qualcomm data center business struggles, layoffs reported

By Jules Wang December 12, 2018, 1:45 pm

Qualcomm has more than 30,000 employees in its ranks working on not just mobile application chipsets and cellular connectivity, but also data center infrastructure.

That data center business has been struggling against the likes of Intel and Microsoft, though, and it may cease to exist in the near future. How so? Well, The Information reported last week that the company had laid off 269 employees in that division.

144 pink slips are hitting where most of the operations were based in Raleigh while another 125 affect the home base offices in San Diego. TechCrunch reports from a spokesperson that severance packages are being offered.

Qualcomm’s streamlining comes at a precarious time when its main source of profits has been hobbled with legal conflicts.

In April, Qualcomm cut 1,500 employees as part of an extensive $2 billion cost-cutting scheme following the end of Broadcom’s acquisition campaign and reorganized its corporate board. The chipmaker is also fighting Apple for its share of intellectual property royalties as revenues drop.



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