Gamernode: News - AMD to cut 10% of its workforce -- 1,600 employees

AMD to cut 10% of its workforce -- 1,600 employees

After a preview of its Q1 2008 financial results yesterday, notable PC component manufacturer AMD revealed intentions to cut its workforce by 10% by the end of the third quarter. The 10% cut would equal to around 1,600 workers.

AMD attributed the revenue loss to the recently released ATI HD 3000 series of video cards along with price cuts to the Radeon HD 3850 and HD 3870 line of cards. More reasons should be released on April 17th.

In light of the news, the company is predicting that Q1 revenue will hit $1.15 billion. While the estimated revenue is a 22% increase over the same period last year, it'll be a 15% decrease from Q4 2007.

Nonetheless, AMD is estimating that its upcoming second quarter will be more profitable due to the impending release of its triple processors, the 780G chipset and the B3-based Phenom processors.

[Via Ars Technica]

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