Qualcomm will lay off over 1200 workers in California. Globally, Qualcomm is one of the largest manufacturers of microchips

According to a filing with the California Employment Development Department, the San Diego-based company will be laying off 1258 employees in California. The job reductions will affect employees based in San Diego and Santa Clara in a variety of roles, including engineers, legal counsel, and human resources.

Layoffs follow the announcement that the company will provide 5G chips to Apple through 2026. Furthermore, Qualcomm is the chip supplier for the newly announced Meta Quest 3.

While the company faces shrinking revenue, Chief Financial Officer Akash Palkhiwala warned in an August call with analysts that proactive measures would be taken to cut costs.

“In light of our commitment to operating discipline, we will proactively implement additional cost actions,” Palkhiwala said on the August call. In the absence of sustained progress in fundamentals, our operating framework does not assume an immediate recovery.