AMD, ATI merger to result in 2000 job cuts?
2006 seems like a bad year to work for a major chipmaker. In the wake of Intel's announcement about its plans to lay off 10,500 employees, The Inquirer has received word that AMD and ATI intend to cut a total of 2,000 staff from their workforce as a result of their pending merger. 1,200 ATI employees will depart, while AMD's workforce will be trimmed by 800 staffers. Part of the ATI layoffs will be due to the purported discontinuation of the All-In-Wonder multimedia graphics card line, about which rumors started to trickle out a couple of months ago. The Inq says the rest of the cuts will include marketing and PR staff made redundant by the merger, ATI software teams, and "culling of deadwood" on the AMD side. If this report is true, 2000 layoffs will be a far cry from AMD and ATI's stated expectation that the merger would not result in any layoffs.