Qualcomm to cut jobs globally in performance-focused reduction

Qualcomm is preparing worldwide layoffs tied to its annual performance reviews, according to a memo from CEO Cristiano Amon to employees. The company will begin notifying affected staff in November, but Amon provided no headcount for the reduction.

Amon said the cuts were intended to improve performance and tackle persistent shortfalls against expectations. Factors in the decisions would include the company's business priorities and organizational needs, alongside employee expertise and skills. He said the capabilities Qualcomm needs have changed as its business has expanded.

The chipmaker did not immediately provide a response to a request for comment. A downturn in consumer electronics sales has weighed on Qualcomm in 2026, as higher memory prices constrain demand across key markets.

Qualcomm stock declined about 1% before regular trading on October 20. Its shares have advanced 1.5% in 2026, trailing gains exceeding 12% for the S&P 500 and approaching 60% for the Philadelphia Semiconductor Index.

In late July, Qualcomm's quarterly profit forecast missed estimates. It also warned that revenue from Apple products would shrink more quickly than anticipated. However, the company indicated that expansion in data centers and other non-handset operations would more than make up for that revenue loss by fiscal 2027.

As it moves into AI data centers, Qualcomm expects operations outside smartphones to account for most chip sales in fiscal 2027.