In a major setback to its employees, global chipmaker Intel Corp reportedly plans to lay off thousands. The reported job cut is aimed to reduce costs and fund an ambitious effort to rebound from an earnings slump and market share losses.

According to a Bloomberg report, the US-based chipmaker, headquartered in Santa Clara, California is expected to announce the job cut soon. Intel is scheduled to report second-quarter earnings on August 1, and has about 110,000 employees, excluding workers at units that are being spun out.

Chief Executive Officer Pat Gelsinger is spending heavily on research and development aimed at improving Intel’s technology and helping it return to prominence in the semiconductor industry. 

This would be the second layoff at Intel in 2024. In April this year, Intel laid off an undisclosed number of employees within its Sales and Marketing Group as part of a restructuring effort.