Reported 8 months ago
Semiconductor giant ON Semiconductor announced a global layoff of 1000 employees in an effort to streamline operations, reduce labor costs, and integrate nine facility sites. The company is facing challenges in the slow recovery of semiconductor demand due to a sharp decline in electric vehicle market demand leading to excess inventory for downstream car manufacturers. Despite a strong first-quarter financial report with revenue and profits exceeding expectations, the company's second-quarter forecast fell below analysts' expectations, attributing the decline to weak sales in the electric vehicle market. ON Semiconductor's main business includes providing chips for electric vehicle drive systems and equipment for driver-assistance systems, with plans to complete the layoff process by next year.
Source: YAHOO