Intel Corp (NASDAQ:INTC, ETR:INL) is shuttering its automotive business within the Client Computing Group and laying off most employees in that division as it sharpens its focus on core operations.
“Intel plans to wind down the Intel architecture automotive business,” the company said in a message to employees seen by The Oregonian/OregonLive.
The chipmaker said it will fulfill existing customer commitments but will eliminate most roles tied to the automotive unit.
Intel told the Oregonian it is “refocusing on our core client and data center portfolio to strengthen our product offerings and meet the needs of our customers.
“As part of this work, we have decided to wind down the automotive business within our client computing group.”
The company did not disclose how many employees will be affected, and the automotive segment's revenue is not broken out in Intel’s financial reporting. However, Intel has said that its chips are used in more than 50 million vehicles, helping power electric vehicle systems, driver information platforms, and vehicle performance optimization.
The layoffs follow broader restructuring efforts initiated by Intel CEO Pat Gelsinger, aimed at revitalizing the semiconductor giant amid mounting competitive and financial pressures.
Intel’s exit from the in-house automotive business does not appear to impact Mobileye, the Israeli autonomous driving tech firm in which Intel holds a majority stake.