Qualcomm CEO Amon Announces Plan for Global Performance-Based Layoffs Starting in November

According to Reuters, Qualcomm Chief Executive Officer Cristiano Amon informed employees in an internal memo that the US chipmaker will carry out a global layoff focused on performance after its annual employee reviews. Notices are scheduled to begin in November.

Amon stated that the move aims to build a stronger performance culture and address the company's persistent failure to meet expectations. The memo did not disclose the number of employees affected or the scale of the layoffs, which Reuters could not immediately determine. Amon noted that decisions would consider business priorities, organizational needs, and changing skill requirements, emphasizing the need to place the right people in the right roles as the business expands.

As of September 2025, Qualcomm had approximately 52,000 employees globally. The company's fiscal year typically ends in late September. This year, Qualcomm has been impacted by sluggish consumer electronics sales, with soaring memory chip prices suppressing demand in key markets. In its most recent earnings report released in late July, Qualcomm projected quarterly profits below market expectations and indicated that revenue from Apple products would decline faster than previously anticipated.

Despite these challenges, Qualcomm is aggressively expanding into the fast-growing AI data center market. The company expects growth in data centers and other non-handset businesses to offset Apple revenue losses by fiscal year 2027, with the majority of chip sales revenue coming from outside smartphones. Year-to-date, Qualcomm shares have risen about 1.5%, significantly underperforming the S&P 500's gain of over 12% and the Philadelphia Semiconductor Index's rise of nearly 60%.