News
 

Bookmark and Share

(2) 

Consistent with previously announced strategic plans, Texas Instruments this week announced it would reduce costs and focus investments in its wireless business on embedded markets with greater potential for sustainable growth. As a result, TI ceases development of chips for smartphones and tablets. Cost reductions include the elimination of about 1700 jobs worldwide.

"We have a great opportunity to reshape our OMAP processor and wireless connectivity product lines to concentrate on embedded markets. Momentum is already building with new embedded applications and a broad set of customers, and we are accelerating our efforts in these areas," said Greg Delagi, senior vice president of embedded processing.

TI previously outlined intentions to focus its OMAP processors and wireless connectivity solutions on a broader set of embedded applications with long life cycles, instead of its historical focus on the mobile market where large customers, such as Apple, LG Electronics and Samsung Electronics are increasingly developing their own custom chips. These changes require fewer resources and less investment.

Previously it was reported that Amazon, which is one of the major customers of TI OMAP with its Kindle Fire lineup of media tablets, could acquire TI’s chip division either fully or partly along with a patent portfolio. Unfortunately, the two companies have not reached an agreement, which is why TI eliminates about 1700 jobs.

"These job reductions are something we do with a heavy heart because they impact people we care deeply about. We will work closely with all employees affected by these changes to provide a range of assistance related to compensation, benefits and job search,” added Mr. Delagi.

As a result of these actions, the company expects annualized savings of about $450 million by the end of 2013. Total charges will be about $325 million, most of which will be accounted for in the current quarter. TI's fourth-quarter outlook, published on October 22, did not comprehend these restructuring charges.

Tags: Texas Instruments, TI, OMAP, Amazon, Kindle, Kindle Fire, ARM, Cortex

Discussion

Comments currently: 2
Discussion started: 11/15/12 11:54:52 AM
Latest comment: 11/17/12 01:30:27 PM
Expand all threads | Collapse all threads

[1-1]

1. 
Bye bye TI, just fired your driving force on behalf of stupid management and sales department.This move takes to the conclusion that there are no more engineers in the board of directors.
1 0 [Posted by: mosu  | Date: 11/15/12 11:54:52 AM]
Reply
- collapse thread

 
Agree. Mostly Sales and Marketing people now occupies most Boards of Directors of technology companies.
0 0 [Posted by: dima  | Date: 11/17/12 01:30:27 PM]
Reply

[1-1]

Add your Comment




Related news

Latest News

Monday, April 14, 2014

8:23 am | Microsoft Vows to Release Xbox 360 Emulator for Xbox One. Microsoft Xbox One May Gain Compatibility with Xbox 360 Games

Tuesday, April 1, 2014

10:39 am | Microsoft Reveals Kinect for Windows v2 Hardware. Launch of New Kinect for Windows Approaches

Tuesday, March 25, 2014

1:57 pm | Facebook to Acquire Virtual Reality Pioneer, Oculus VR. Facebook Considers Virtual Reality as Next-Gen Social Platform

1:35 pm | Intel Acquires Maker of Wearable Computing Devices. Basis Science Becomes Fully-Owned Subsidiary of Intel

Monday, March 24, 2014

10:53 pm | Global UHD TV Shipments Total 1.6 Million Units in 2013 – Analysts. China Ahead of the Whole World with 4K TV Adoption

10:40 pm | Crytek to Adopt AMD Mantle Mantle API for CryEngine. Leading Game Developer Adopts AMD Mantle

9:08 pm | Microsoft Unleashes DirectX 12: One API for PCs, Mobile Gadgets and Xbox One. Microsoft Promises Increased Performance, New Features with DirectX 12

3:33 pm | PowerVR Wizard: Imagination Reveals World’s First Ray-Tracing GPU IP for Mobile Devices. Imagination Technologies Brings Ray-Tracing, Hybrid Rendering Modes to Smartphones and Tablets

2:00 pm | Nokia Now Expects to Close Deal with Microsoft in Q2. Sale of Nokia’s Division to Close Next Month