Qualcomm to cut jobs worldwide in performance-focused layoffs, internal memo shows

Qualcomm, one of the world's leading smartphone chipmakers, announced plans to cut jobs worldwide in a performance-focused reduction, according to an internal memo reviewed by Reuters. The memo did not provide specific details on the number of jobs affected, but CEO Cristiano Amon informed staff during annual employee reviews that the company would begin notifying affected employees in November.

This decision comes as part of an effort to build a stronger performance culture and address situations where Qualcomm has consistently fallen short of expectations.

The cuts are expected to take place following the company's annual employee reviews, with notifications set to begin in November. However, the exact number of job cuts remains undisclosed. Qualcomm's global workforce, as of September last year, consisted of approximately 52,000 employees, with most of them being full-time. The company's financial year typically ends in late September.

Despite being one of the largest players in the smartphone chip market, Qualcomm has faced challenges this year due to a slump in consumer electronics sales. Soaring memory prices have weighed on demand in key markets, negatively impacting the company's performance. Qualcomm's shares have shown limited growth, with only a 1.5% increase in 2026, compared to the S&P 500's gains of over 12% and the Philadelphia Semiconductor Index's nearly 60% growth.

In July, Qualcomm reported that its quarterly profit had fallen short of estimates and that revenue from Apple products was projected to decline faster than anticipated. However, the company also indicated that growth in its data-center and other non-handset businesses would help offset the lost revenue by 2027. Qualcomm aims to shift the majority of its chip sales to businesses other than smartphones by fiscal 2027, as it expands into the rapidly growing AI data-center market.

Amon emphasized in the memo that business priorities, organizational needs, skills, and expertise would be considered in making the cuts. He stated, "As we have expanded the business, so have the competencies and skills we require. We must have the right people in the right roles so they can perform at their best and the company can continue to succeed."