News by Andrew Kameka on Thursday November 15, 2012.
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Texas Instruments has confirmed reports that it will layoff 1,700 workers and transition focus of its OMAP processors from phones and tablets to embedded solutions like automobiles. TI has made public comments about its intention to leave the competitive chip-making business, and today's announcement is the first concrete step the company has taken to execute those plans. Following a rise in custom-designed chips and increased pressure from rivals Qualcomm and Samsung, the third-place chipmaker will pursue what it hopes are more profitable opportunities in the embedded market.
TI is not completely abandoning the mobile market, but it will devote significantly fewer resources to its efforts. Cutting the 1,700 jobs and shifting its focus will save the company $450 million by the end of 2013. Greg Delagi, senior vice president of Embedded Processing, said:
"We have a great opportunity to reshape our OMAP processor and wireless connectivity product lines to concentrate on embedded markets. Momentum is already building with new embedded applications and a broad set of customers, and we are accelerating our efforts in these areas. These job reductions are something we do with a heavy heart because they impact people we care deeply about. We will work closely with all employees affected by these changes to provide a range of assistance related to compensation, benefits and job search."source: Texas Instruments
Andrew is based in Miami, Florida.