Intel Swings Job Ax

Intel's Mulloy said that while the majority of the planned cost savings come from the workforce reductions, a significant portion will also be the result of changes in operations, such as manufacturing processes as well as advertising, branding and co-marketing costs.

Asked if these changes will affect the company's famous Intel Inside co-branding program, in which Intel gives participating PC vendors access to a pool of shared advertising dollars, Mulloy said Intel "has not made any final decisions on things like that."

Mulloy also dismissed reports that Intel would delay construction of certain new chip fabrication facilities as part of the restructuring plan.

"The construction schedule for the factories in place have not changed and will continue," Mulloy said.

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