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HP to Cut Up to 6,000 Jobs in AI-Driven Restructuring

In the tech world, changes happen at lightning speed, and artificial intelligence is becoming a key element of the strategies of the biggest players. HP Inc., one of the leaders in the market for computers and printing devices, has just announced an ambitious restructuring plan that includes cutting up to 6,000 jobs worldwide by the end of fiscal 2028. This is not just about cutting costs, but also about accelerating the rollout of AI, which is expected to bring the company a billion dollars in savings.

Announcement details: How many people will lose their jobs and when?

HP Inc. said it plans to reduce its workforce by 4,000 to 6,000 positions over the next three years. Cuts will primarily affect teams working on product development, internal operations and customer support. The company stresses that this is part of a broader strategy of simplifying its structures and focusing on innovation based on artificial intelligence. CEO Enrique Lores explained that the changes aim to adapt the company to growing demand for computers with AI features, while dealing with cost pressure.

This is not HP’s first such move. In February 2025, the company already cut up to 2,000 employees as part of an earlier restructuring. The current plan is separate and is expected to deliver savings of around 1 billion dollars by 2028, including about 650 million dollars in restructuring costs, of which 250 million falls in fiscal 2026.

Reasons behind the decision: AI versus rising costs

The main driver of the changes is the boom in artificial intelligence. HP sees AI as an opportunity for growth, but at the same time must face market challenges. Rising prices of chip memory (DRAM and NAND), driven by the investments of tech giants in AI infrastructure, are squeezing hardware makers’ profit margins. The company plans to counter this by seeking cheaper suppliers, changing memory configurations and adjusting prices.

In addition, a weaker profit forecast for the coming period, below market expectations, contributed to a drop in HP’s shares. New US trade regulations are also affecting the company’s guidance. In the fourth quarter of 2025, HP’s revenue came to 14.64 billion dollars, beating analysts’ expectations (14.48 billion), but the future calls for radical steps.

Impact on employees and the company

For thousands of employees, this is a difficult moment. The cuts will affect the global workforce, which may mean job losses in various countries, including in Europe and the US. The company did not give details on regions, but stresses that the changes are necessary to remain competitive.

From the company’s perspective, the plan is expected to bring not only savings but also faster innovation. HP is investing in AI to offer advanced personal computers, which could strengthen its market position. However, analysts point to risks: in October 2025, cost cutting was the most common reason for layoffs in the private sector, with AI second, accounting for 31 thousand lost jobs.

Market context: A trend across the tech industry

HP is not alone. Large tech companies such as Google, Meta and Amazon are also carrying out mass layoffs as they adapt to AI. In 2025 the technology sector saw a wave of cuts, with AI a key factor of transformation. This shows how artificial intelligence not only creates new opportunities but also eliminates traditional roles.

In Poland and Europe, HP’s changes may affect local suppliers and partners, although the company has not disclosed details. It is worth watching how this will translate into device prices and the innovations available to consumers.

What next? HP's future in the AI era

HP’s announcement is a signal for the entire industry: AI is not just hype but a real driving force of change. The company has secured inventory for the first half of 2026 and plans adjustments to soften the impact of rising costs. For investors, the news is mixed: shares fell after the announcement, but in the long term the strategy may bring growth.

Source: CNBC.com

Łukasz Jasztal

Łukasz Jasztal - redaktor naczelny portalu DigitalNexus.pl. Pasjonat nowych technologii i ciekawych historii.

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