Texas Instruments announced plans to cut 650 jobs in six countries amid slowing sales and weakening trends. The downsizing will mostly affect employees in the cellphone chip unit, and save an estimated $200 million a year for TI. Though the firm met third-quarter earnings expectations, a sharp decrease in sales to Motorola (a large client) has left the chip unit struggling, and another unit possibly up for sale. TI has also lowered its outlook for fourth-quarter earnings, expecting even further drops in revenue.
See "Chip orders are quickly slowing, Texas Instruments says", International Herald Tribune, October 20, 2008