We found out yesterday that the company intends to drastically reduce the number of employees, with 10%, which represents about 10 thousand people, and along with the global restructuring, Intel expects to generate savings in costs and operating expenses of about $2 billion in 2007. In 2008, the savings are expected to grow to about $3 billion annually. Today, the details are emerging. In India, Intel has about 3000 employees. The information technology group, which manages and provides solutions for Intel's internal computing resources and other assets, constitutes a significant proportion of the company's strength here. Many from this group could be affected and sources close to the company say many of those working for the abandoned 'Whitefield' chip project have already left the company to rival AMD.

The company said that "in 2007, the reductions will be more broadly based as Intel improves efficiency in manufacturing, improves equipment utilization, eliminates organizational redundancies, and improves product design methods and processes".

That would probably mean there is unlikely to be any more chip/chipset development in India in the near future. An article from Times of India shows that it is believed Intel's numbers in India could come down to about 2000. Intel declined to specify any layoff numbers for India, except to say that Indian operations too would be affected. An Intel official said however that nearly 5,000 people have already left or are in the process of leaving.