Intel to Slash Channel Spending, Aim for Simplified Program

As part of corporate-wide cost-cutting measures, Intel is slashing channel spending by 35% and plans a sweeping reorganization to simplify its channel program and maximize productivity and results.

First came the layoffs, and then the cost-cutting measures to the channel program. According to CRN, Intel is reducing its channel spending by 35% and will reorganize its channel program with the goal of simplifying operations to maximize revenue productivity through partners.

Intel unveiled its channel cost-cutting plans in its Sales and Marketing Group (SMG) earlier this month. The planned cuts and restructuring are part of Intel’s broader strategy to become a “simpler, leaner, and more agile” company. This transformation is seen as necessary for Intel to regain its competitive edge, particularly in emerging areas such as AI and cloud computing. While these changes may cause short-term disruption, there’s optimism within SMG that these measures will ultimately result in a more effective organization, better positioned to support Intel’s long-term goals.