By mid-July, approximately 415 individuals, primarily in high-paying six-figure positions, will be departing from Qualcomm. This accounts for a fraction of the nearly 13,000 employees based at the company's headquarters in San Diego.

The decision follows the mobile chip firm's efforts to cut down on expenses in response to a persistent slowdown in smartphone sales.

The San Diego-headquartered wireless technology provider has submitted Worker Adjustment and Retraining Notification Act (WARN) paperwork to both the state of California and local employment authorities. The notification serves as an official announcement of the upcoming layoffs, scheduled to occur in mid-July.

Alongside the downsizing of its San Diego workforce, Qualcomm also implemented workforce reductions in the Bay Area, resulting in the termination of 84 employees.

Qualcomm specialises in semiconductor design and offers mobile technologies to various smartphone brands, as well as automakers and Internet of Things companies. While a significant portion of its smartphone-related business revolves around Android devices, the company also supplies 5G cellular modem chips used in iPhones.

The company has experienced sluggish growth this year due to weak smartphone sales, especially in China. These recent layoffs add to the two previous rounds of downsizing in December and March, where a total of 232 employees were let go from Qualcomm's San Diego offices.

Nevertheless, Qualcomm maintains its position as the largest technology company in San Diego, employing approximately 12,000 individuals locally. The company refrained from providing a comment, reported Reuters. However, during its most recent earnings conference call in May, Chief Executive Cristiano Amon acknowledged the challenges of market forecasting.

“We are actively managing operating expenses and will continue to evaluate additional opportunities to drive greater operating efficiencies without losing sight of the automotive and Internet of Things growth opportunities ahead,” he said.

In an effort to expand its business beyond smartphones, Qualcomm has been actively diversifying its portfolio. The company has a significant backlog of projects with car manufacturers, focusing on in-vehicle connectivity, digital dashboard/infotainment systems, and autonomous driving technologies.