A world leader in innovative memory solutions, Micron will be laying off nearly 5000 or 10% of its employees.
The company said that the industry is experiencing the “most severe imbalance between supply and demand in both DRAM and NAND in the last 13 years.”
Micron Technology announced results for its first quarter of fiscal 2023, which ended December 1, 2022.
“Micron delivered fiscal first-quarter revenue and EPS within guidance ranges despite challenging conditions during the quarter,” said Micron Technology President and CEO Sanjay Mehrotra.
“Micron’s strong technology, manufacturing, and financial position put us on solid footing to navigate the near-term environment, and we are taking decisive actions to cut our supply and expenses”, Sanjay Mehrotra added.
Sanjay Mehrotra further said, “We expect improving customer inventories to enable higher revenue in the fiscal second half, and to deliver strong profitability once we get past this downturn.”
“We project our spending to decrease through the year, driven by reductions in external spending, productivity programs across the business, suspension of a 2023 bonus companywide, select product program reductions, and lower discretionary spend,” reads the report.
Micron said that it is working on the following:
- Making significant cuts to its capital expenditures and wafer starts along with also taking measures to cut its costs and operating expenditures.
- The company will also take significant steps to reduce its costs and operating expenses.
- Further, the company also plans to cut executive salaries in 2023.
The company has approximately employees 48,000 team members in 17 countries who work with the world’s most trusted brands, delivering memory and storage systems for a broad range of applications and sparking countless possibilities in technology.
On the other hand, Tech companies are on a spree of job cuts and hiring freezes. Many big companies like Amazon, Intel, HP, and Apple have announced a reduction in the workforce for next year.
