Layoff wave: Dutch chip maker NXP sees both profits and sales fall
Dutch chip manufacturer NXP achieved lower sales and profits last year compared to the previous year. And that has implications for the workforce.
Published on February 4, 2025
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Dutch chip manufacturer NXP posted lower sales and profits last year compared to the previous year. The Eindhoven-based company, listed on the New York Stock Exchange, called market conditions challenging. For the full fiscal year, NXP Semiconductors realized sales of $12.6 billion, compared with $13.3 billion in 2023.
NXP, once Philips' semiconductor division, operates in more than 30 countries and produces chips for various Internet-connected devices. Demand for some of these devices fluctuates greatly depending on the economic situation.
Layoff wave at NXP
Due to the economic conditions, chip manufacturer NXP is cutting hundreds of jobs worldwide, representing about 5 percent of its 34,000 employees. This was confirmed by a spokesman in the Eindhovens Dagblad. In the Netherlands, some 2,500 people work at NXP in Eindhoven, Nijmegen and Delft.
Loan of 1 billion euros
Earlier this year, NXP received a 1 billion euro loan from the European Investment Bank (EIB) to stimulate innovation in semiconductors. This financing is aimed at developing chips for the automotive industry and industrial applications, among others, at NXP sites in the Netherlands, Austria, France, Germany and Romania.
NXP Secures €1 billion EIB loan to advance semiconductor innovation in Europe
Chip manufacturer NXP receives a €1 billion loan from 'Europe'. The money allows NXP to invest in research, development and innovation of the new generation of chips.