According to Lenovo, a Chinese computer manufacturer with its headquarters in Morrisville, the corporation is cutting off 3% of its American employees.
Like other businesses, Lenovo routinely reviews its cost structure to correspond with external market conditions and make personnel modifications as needed, according to a statement released on July 16 by spokesman David Hamilton.
At the moment, the company is strategically cutting back on certain aspects of its North American operations.
According to Hamilton, 3% of the company’s US employees will be impacted by the layoffs. The location of the cuts would not be specified by him. The company’s US headquarters are located in Morrisville, and it has eight locations across the country.
Triangle Office to Take a Massive Hit
As of 2023, Wake County Economic Development estimates that the corporation employed 5,100 people in the Triangle. About 20 years ago, Lenovo shifted its operations to the Triangle. In 2005, it acquired IBM’s personal computer division and moved its US headquarters to the Triangle.
It is one of the largest employers in the Triangle. The company’s 2024–25 fiscal year saw a 21% growth in revenue to $69.1 billion due to high demand for its PCs, smartphones, and tablets.
According to Hamilton, the business will “keep investing and concentrating on projects that accelerate the company’s growth and overall transformation.” The business has made significant investments in R&D. The last fiscal year saw a 13% increase in R&D spending to $2.3 billion.
More than 1,00,000 Job Cuts in Tech Sector in 2025
In 2025 alone, the tech industry’s current wave of layoffs has resulted in over 100,000 job losses worldwide. As they prioritise AI integration and adjust to shifting market conditions, major companies like IBM, Intel, and Microsoft continue to reduce their workforces.
Microsoft, for example, just announced 9,100 layoffs that will impact its Xbox and gaming operations, among other departments. These layoffs serve as a reminder of the continuous difficulties businesses have in the quickly changing tech sector.
Additionally, IBM has been laying off some 8,000 workers, primarily from its human resources division. This comes after an internal shift towards automation, where jobs that were formerly handled by human staff are progressively being replaced by AI systems.
This change demonstrates how AI is increasingly affecting employment positions and the strategic realignments that tech businesses are undergoing. AI integration is changing the nature of work and the skills needed in the tech sector.
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