Qualcomm is initiating global workforce reductions starting in November. CEO Cristiano Amon announced the decision in an internal memo, describing the move as a performance-focused restructuring following annual employee reviews. The company has not specified the total number of affected staff or the specific regions involved.
The chipmaker currently faces challenges including slowing demand for smartphones and rising costs. Additionally, the company is experiencing a faster-than-expected decline in revenue from Apple. As of September 2025, Qualcomm employed approximately 52,000 people worldwide.
The company is shifting its strategic focus toward AI data centers and automotive technology to offset losses in the mobile sector. Qualcomm aims to generate over $15 billion in annual data center revenue by fiscal 2029, with a broader target of $40 billion from non-handset businesses by the same year.
Qualcomm shares have risen 1.5% in 2026, underperforming compared to the S&P 500, which grew by more than 12%. The company expects that most of its chip sales will originate from markets outside of smartphones by fiscal 2027.
