Industryweek 6017 Texasinstrumentslogo595
Industryweek 6017 Texasinstrumentslogo595
Industryweek 6017 Texasinstrumentslogo595
Industryweek 6017 Texasinstrumentslogo595
Industryweek 6017 Texasinstrumentslogo595

Texas Instruments to Cut Jobs Amid Weaker Outlook

Jan. 22, 2014
CEO Rich Templeton: 'The company is not exiting any markets or discontinuing any existing products but will reduce investments in markets that do not offer sustainable growth and returns.'

NEW YORK - Texas Instruments (IW 500/93) said Tuesday it is eliminating 1,100 jobs worldwide as the chipmaker moves away from slow-growing segments.

The news came as the company reported quarterly and annual profits in line with expectations, but offered a disappointing outlook for early 2014.

Chairman and CEO Rich Templeton said TI would be taking restructuring charges for cost-saving actions in embedded processing -- which include chips in connected everyday devices -- and in Japan.

"The company is not exiting any markets or discontinuing any existing products but will reduce investments in markets that do not offer sustainable growth and returns," he said.

"The savings will reflect the elimination of about 1,100 jobs worldwide."

The company's fourth-quarter profit rose 94% from a year ago to $511 million. Its full-year profit was $2.2 billion, up 23%.

But its guidance for the first quarter of 2014 for revenue and profit was below most Wall Street analyst forecasts.

In 2012, the Dallas-based firm said it would cut back on chips for mobile phones to focus on processors for devices and applications "with long life cycles," including industrial equipment and the automotive sector.

Copyright Agence France-Presse, 2014

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!