Qualcomm's 'performance-focused' layoffs hit India, starting in Bengaluru

Analysts put about 1,000 of its roughly 20,000 India jobs at risk, though sources say the final number will be lower.

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Qualcomm logo on a white panel beside the words INDIA CUTS on a black panel
Logo: Qualcomm (via Wikimedia Commons, public domain). Illustration: EngineerPal

Qualcomm has started laying off employees in India, its largest engineering base outside the US. The first round began at its Bengaluru office on Monday (Nov. 9), Financial Express reported Tuesday, days after the chipmaker began cutting jobs in the US.

The cuts are the India leg of a global reduction that CEO Cristiano Amon announced to staff in October. Qualcomm is also expected to file layoff notices in California in the coming days under the state's WARN Act, Investing.com reported, citing people familiar with the company's plans. Qualcomm declined to comment to Investing.com and didn't respond to Financial Express.

Nobody outside the company knows yet how many jobs are going. Qualcomm employs about 20,000 people in India. If the global cut is around 7% of the workforce, as people familiar with the plan told Financial Express, the India total would be "around 1,000 employees or a little higher than that," said Pareekh Jain, CEO of research firm EIIRTrend. Investing.com's sources said the actual number is expected to be "significantly lower."

A post about the cuts drew more than 380,000 views on Tuesday. Qualcomm hasn't said which roles are affected. Post: @coolcoder56 on X

According to Financial Express, the cuts are broad and include both senior engineers and recent hires. Some affected employees said they had received no prior performance feedback, even though the company calls the layoffs performance-driven. A post on X saying "senior engineers are most affected" had more than 380,000 views by Tuesday afternoon.

Affected employees have reportedly been offered severance of three months' pay, tied to tenure, plus one more month's salary if they sign their relieving documents within three days. Analysts expect another round in January. Qualcomm has engineering and research sites in Bengaluru, Hyderabad, Chennai and the Delhi area, and hasn't said which ones are affected.

What's known about Qualcomm's India layoffs
StartedNov. 9 in Bengaluru, in phases
India workforceAbout 20,000 employees
Jobs at riskEstimates range from 600 to 1,200
Who's affectedSenior engineers and recent hires
Severance (reported)3 months' pay, +1 for signing in 3 days
Next roundExpected in January
Qualcomm's commentNone, and no confirmed number

Sources: Financial Express, Investing.com, Trak.in. Table: EngineerPal

'The right people in the right roles'

Amon first described the layoffs in an Oct. 19 memo reviewed by Reuters. He called them a "performance-focused reduction" that would follow the company's annual employee reviews, with notifications starting in November. The goal, he wrote, was to build "a stronger performance culture" and to address areas where the company "has consistently fallen short of expectations."

"As we have expanded the business, so have the competencies and skills we require," Amon wrote. "We must have the right people in the right roles so they can perform at their best and the company can continue to succeed." The memo didn't say how many jobs would be cut. Investing.com's sources said the cuts aren't tied to Qualcomm's AI strategy.

They do come as Qualcomm's core business shrinks. Its fiscal fourth-quarter results, reported Nov. 4, showed revenue from smartphone chips down 26% year over year to $5.14 billion, as rising memory prices weighed on phone demand. Automotive chip revenue rose 89% to a record $1.99 billion, and Qualcomm says sales outside phones will grow more than 60% in fiscal 2027 as its data center chips ramp up.

Bar chart of Qualcomm QCT revenue by business: handsets fell 26% to $5.14 billion, automotive rose 89% to $1.99 billion and IoT rose 4% to $1.89 billion
Qualcomm's handset chip revenue fell while its car chip business set a record. Chart: EngineerPal; data: Qualcomm

The company had about 57,000 employees as of Sept. 27, according to Investing.com, up from about 52,000 a year earlier. Qualcomm hasn't said how many of them will be cut.