The global technology industry is facing another turbulent year, with more than 90,000 employees laid off since January, according to a new report from financial services firm RationalFX.
The report, which aggregates layoff data from U.S. WARN notices, Layoffs.fyi, TechCrunch, and job portal TrueUp, reveals that 90,471 tech workers have lost their jobs in 2025 so far. Of these, 65,545 layoffs came from U.S.-based companies, making up 72.5 percent of the total global job cuts in the sector.
Leading the list is Intel, which has announced plans to cut around 20 percent of its workforce by the end of the year. While company executives have provided conflicting details, RationalFX estimates that between 20,000 and 25,000 employees will be affected. The move follows another major reduction of more than 15,000 roles in 2024.
“Financial pressures and the drive toward automation appear to be the main forces behind the recent waves of layoffs,” RationalFX analyst Alan Cohen noted. “We are seeing less and less demand for generic coding and data-centric positions.”
Panasonic, Microsoft among top companies reducing workforce
The second-largest cut so far this year comes from Panasonic, which plans to lay off 10,000 employees as part of a sweeping reorganisation to boost profitability. Microsoft ranks third, letting go of 8,840 employees despite reporting 70.1 billion dollars in Q1 revenue and 25.8 billion dollars in net income.
Notably, many tech companies are implementing layoffs even as they post strong earnings. Meta, for example, recorded 16.64 billion dollars in profit while shedding 3,720 jobs. Meanwhile, Chegg eliminated 22 percent of its workforce following its pivot toward a GPT-4-powered AI assistant.
The geographic breakdown of layoffs shows that California-based companies are responsible for 38,352 job losses, the highest of any U.S. state. They are followed by companies headquartered in Washington with 13,385, Texas with 3,656, Massachusetts with 2,520, and Arizona with 2,450. On a global scale, Japan ranks second after the U.S. with 10,100 layoffs, followed by Sweden with 3,053, Switzerland with 3,050, and India with 2,688.
2025 on track for nearly a quarter million tech job cuts
At the current rate of 646 job losses per day, RationalFX projects that total tech layoffs in 2025 could reach 235,871, adding an estimated 145,500 job cuts by year-end if the trend continues.
The report also warns that once-sought-after roles in AI development and prompt engineering may no longer offer the job security they once did. “Even jobs that were in high demand just a year ago are becoming increasingly obsolete in the wider tech industry,” the Alan noted.
Read the full analysis here
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