The combined AMD/ATI will cut 2000 jobs:
http://www.theinquirer.net/default.aspx?article=35046
While it's sad that even two companies who seem to be on a roll will hack of 15% of their combined workforce, I think this is a smart move. It is better to remove the excess now when they can afford it. However, I wonder how the 800 AMD employees who are going to be laid off must be feeling. Undoubtedly some of them will feel they have given their blood+sweat+tears to bring AMD so far and will feel betrayed to be dropped like an old shoe. Alas, such is life.
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UPDATE
This rumour from the Inquirer was false. The rumours have died. I've come back to update this because there are some folks who read this blog and take every comment rather personally. They've been rather insistent so I thought I'd give in. Having said that, anyone who can mis-read this post as a prediction of doom for AMD needs to get out for a bit. I mean how many ways can you mis-interpret a post where I say this is a smart move. Anyways...for some strange reason I think I'll actually be able to get on with my life even after this -:)
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8 comments:
The 800 workers at AMD will be needed by Intel.
Intel now needs a lot of marketing people to sell 5 chips here and there.
Ashenman - do point me to the place where I have berated the Inquirer...or for that matter any publication (except perhaps the Jounral of Pervasive AMD Posturing and Intel Slandering). Methinks you are biased upon myself because I foresee the tide turn away from AMD and toward Intel. Anyways, this bothers me not. This is a place for free and open (as long as it's decorous) speech so heave away old fella.
Again, you interpret my post as a slur on AMD. Quite the contrary old chap, this is indeed a sensible thing to do. I do feel sad for the people who will lose their jobs as I did for the thousands who just moved on from Intel.
Sharikou - my friend. I thought you had stopped visiting my humble abode. I would have agreed with you had Intel not laid off such a significant chunk of their marketing team last week. Forget bad press, they would be courting legal action should they go out and hire 800 new marketing people.
Ashenman - no problem old boy. As I say, this is timely and appropriate action on AMD's part and I think they're doing the right thing.
"but it also makes workers who are there happier with their jobs, since they'll receive an inevitable pay raise (or are at least more likely to receive one), in order to redistribute the funds that would've been used before."
You're joking right? You think the money from layoffs goes to an inevitable pay raise - please tell us more about this utopian society!
The only real pay raises will be the director/VP level bonuses.
AMD, ATI job cuts get clarified
All of the others put the total at 2,000 - a number we found extremely high, it just didn't add up.
This new info comes from another angle and confirmed the cuts but said neither the numbers nor the specifics have been decided yet. This mole says that the numbers will be in the hundreds not thousands, and even the HR people at AMD don't have specifics yet.
I would consider this source to have a much closer eye on things than many others, so it looks the numbers may be lower, but we won't know the specifics for another few weeks.
AMD will need whatever is saved by the merger to pay the interest on loan to buy ATI. AMD will be looking a lot better at the start of 2008.
I'm disappointed to see that while you were eager to post the speculation on your front page you have not seen fit to correct it after I pointed out the INQ's backing off of the original numbers.
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