AMD is cutting 7% of its global workforce as a result of its ongoing market troubles.
According to Bloomberg, AMD had its ass handed to it by Intel who has taken a whopping 94% of the PC processor in the second quarter of 2014. Intel has also powered 84% and 88% of desktop PCs and laptops sold over the same period.
For Q3, 2014, AMD's Computing and Graphics segment reported an operating loss of $17 million, down from a $9 million profit in the same quarter last year. Overall, the company reported a slight decline in revenue year-on-year but with a significant drop in profit from $48 million to $17 million on a GAAP basis, and from $31 million to $20 million on a non-GAAP basis.
"AMD's third quarter financial performance reflects progress in diversifying our business," said AMD president and CEO Lisa Su. "Our Enterprise, Embedded and Semi-Custom segment results were strong. However, performance in our Computing and Graphics segment was mixed based on challenging market conditions that require us to take further steps to evolve and strengthen the financial performance of this business."
As a result, around 710 jobs are facing the axe before the end of the year. The company will also downsize its real estate to match its reduced workforce size.