Qualcomm is planning global job cuts as part of a “performance-focused reduction” following its annual employee reviews, CEO Cristiano Amon told staff in a memo. The company expects to begin notifying affected employees in November.
According to Amon, the move aims to establish “a stronger performance culture” and address cases in which employees have “consistently fallen short of expectations.” However, the memo did not specify the number of positions that would be eliminated, and sources could not immediately determine the scale of the planned reductions.
Qualcomm did not immediately respond to a request for comment. As of September last year, the company employed approximately 52,000 people worldwide, most of whom worked full-time. Its financial year typically ends in late September.
One of the world’s largest smartphone chipmakers, Qualcomm has faced challenges this year amid declining consumer electronics sales, as rising memory prices weigh on demand across key markets.
Meanwhile, Qualcomm’s shares have gained just 1.5% in 2026, underperforming the benchmark S&P 500, which has risen more than 12%, and the Philadelphia Semiconductor Index, which has advanced nearly 60%. On Tuesday, Qualcomm shares rose more than 1% after trading approximately 0.5% lower earlier in the session.
In its latest earnings report, released in late July, Qualcomm projected quarterly profit below market estimates. The company also warned that revenue from Apple-related products would decline faster than anticipated. Nevertheless, it indicated that growth in data centres and other non-handset businesses would more than offset the revenue shortfall by fiscal 2027.
Qualcomm expects businesses outside the smartphone segment to account for the majority of its chip sales in fiscal 2027 as it expands into the rapidly growing AI data-centre market.
Amon said the company would consider business priorities, organisational requirements, skills, and expertise when determining the workforce reductions. “As we have expanded the business, so have the competencies and skills we require,” he wrote. “We must have the right people in the right roles so they can perform at their best and the company can continue to succeed.”
