Intel is closing its automotive chipmaking business

Intel is shutting down its concern dedicated to making processors for cars. In a memo seen by The Oregonian, Intel tells workers that it plans to laic disconnected “most” employees successful the division, citing plans to displacement absorption to its “core lawsuit and information halfway portfolio.”

“As portion of this work, we person decided to upwind down the automotive concern wrong our lawsuit computing group,” Intel writes successful the memo. “We are committed to ensuring a creaseless modulation for our customers.” Intel didn’t instantly respond to The Verge’s petition for comment.

Over the years, Intel has invested heavy successful its automotive business, which builds chips that powerfulness a car’s infotainment system, instrumentality clusters, and different controls. Intel’s exertion runs successful more than 50 cardinal vehicles, and up until now, it seemed acceptable connected expanding its reach. Last year, it announced caller AI-enhanced chips for cars that volition assistance amended a vehicle’s navigation strategy and dependable assistant. It revealed plans to bring its Arc GPU to cars arsenic well.

Intel besides acquired the self-driving car exertion institution Mobileye for $15 cardinal successful 2017. Mobileye aboriginal went public arsenic a standalone company, but Intel inactive owns a bulk stake.

Intel’s recently appointed CEO, Lip-Bu Tan, said successful April that the company would request to “reduce the size” of its workforce successful the 2nd 4th of 2025 arsenic portion of plans to get the chipmaker backmost connected track. The institution besides informed employees of layoffs coming to its foundry concern arsenic well, according to The Oregonian, and a caller WARN (Worker Adjustment and Retraining Notification) announcement successful California suggests layoffs impacting 107 employees astatine its Santa Clara headquarters.