Qualcomm plans global layoffs following annual reviews

Qualcomm plans global layoffs following annual reviews, with notices due in November, Channel NewsAsia reported Oct. 20, citing an internal memo reviewed by Reuters.

The cuts come as Qualcomm's shares have gained 1.5% in 2026, compared with more than 12% for the S&P 500 and nearly 60% for the Philadelphia Semiconductor Index. The company had about 52,000 employees globally as of September last year, most of them full-time.

CEO Cristiano Amon told staff the reductions were a "performance-focused reduction" intended to build "a stronger performance culture," according to the memo reviewed by Reuters.

The memo said Qualcomm would consider business priorities, organizational needs, skills and expertise when deciding which positions to eliminate. Amon said the company needed to address areas where it "has consistently fallen short of expectations."

"As we have expanded the business, so have the competencies and skills we require," Amon wrote in the memo. "We must have the right people in the right roles so they can perform at their best and the company can continue to succeed."

The memo did not specify how many jobs would be affected. Reuters said it could not immediately determine the size of the planned cuts, and Qualcomm did not immediately respond to a request for comment.

Qualcomm is one of the world's largest makers of chips used in smartphones. Reuters reported that the company has been hit this year by weaker consumer-electronics sales as rising memory prices weigh on demand in important markets.

The planned layoffs follow Qualcomm's late-July earnings report, when the company forecast quarterly profit below estimates. It also said revenue from Apple products would fall faster than expected.

Qualcomm has been trying to reduce its dependence on smartphones by expanding into data centers and other non-handset businesses. The company said those businesses would more than offset the lost Apple-related revenue by fiscal 2027.

The company expects most of its chip sales to come from businesses outside smartphones in fiscal 2027 as it expands in the AI data-center market. Its financial year typically ends in late September.

In November, Qualcomm is expected to begin notifying affected employees, according to the memo reviewed by Reuters. The scale of the layoffs remains undisclosed.

In fiscal 2027, Qualcomm's stated target is for growth in data-center and other non-handset businesses to more than offset the decline in Apple-related revenue. The company also expects most chip sales to come from businesses other than smartphones in that fiscal year.

Source: internal memo reviewed by Reuters, published by Channel NewsAsia, Oct. 20, 2026