Shortly after Intel's April quarter earnings call with Wall Street analysts, CEO Brian Krzanich headed to the Business Update Meeting, the company s quarterly all-hands widely known as "BUM.
Big changes, orchestrated by Krzanich, are underway at Intel, one of the Silicon Valley's most iconic companies which was once synonymous with the tech revolution.
In the face of a shrinking PC market, historically its largest cash cow business, Intel is shifting its focus to server and connected device chips, while revamping the company's workforce with younger, outside talent.The changes, however, are causing a widening rift between Krzanich and some of Intel's old-timers.
Depending on who you ask, the new Intel is a company mired in crisis with no clear path ahead or one in transition making tough decisions to better-deal with the changing business landscape.Either way, it doesn't feel the same at Intel anymore, according to about a dozen current and former employees that Business Insider spoke to.
Employees believe Krzanich is intentionally targeting those over the age of 40 in the latest round of layoffs to bring in younger blood and fresh ideas to Intel's aging workforce.In fact, according to data Intel provided to laid off workers, first reported by The Oregonian and also obtained by Business Insider, 79% of those selected for layoffs in the US so far were over the age of 40.
Plus, those numbers don't reflect the entire reorg since it doesn't include non-US workers and represents only the first batch of affected employees.