Bay Area semiconductor testing company to lay off more than 200 workers

Semiconductor investigating instrumentality institution FormFactor is laying disconnected much than 200 workers and closing manufacturing facilities arsenic it seeks to chopped costs aft being deed by higher import taxes.

The Livermore-based institution plans to shutter its Baldwin Park installation and chopped 113 jobs determination connected Jan. 30, according to a layoff announcement sent to the California Employment Development Department this week. Its installation successful Carlsbad is scheduled to adjacent successful mid-December aboriginal this year, which volition effect successful 107 occupation losses, according to an earlier notice.

Technicians, engineers, managers, assemblers and different workers are among those expected to suffer their jobs, according to the notices.

The institution offers semiconductor investigating equipment, including probe cards, and different products. The manufacture has been benefiting from accrued AI spot adoption and infrastructure spending.

FormFactor is among the employers that person been shedding workers amid much economical uncertainty.

Companies person cited assorted reasons for workforce reductions, including restructuring, closures, tariffs, marketplace conditions and artificial intelligence, which tin assistance automate repetitive tasks oregon make text, images and code.

The tech manufacture — a cardinal portion of California’s system — has been deed hard by occupation losses aft the pandemic, which spurred much hiring, and amid the emergence of AI tools that are reshaping its workforce.

As tech companies and startups vie fiercely to predominate the AI race, they’ve besides chopped mediate absorption and different workers arsenic they determination faster to merchandise much AI-powered products. They’re besides investing billions of dollars into information centers that location computing instrumentality utilized to process the monolithic troves of accusation needed to bid and support AI systems.

Companies specified arsenic chipmaker Nvidia and ChatGPT shaper OpenAI person benefited from the AI boom, portion bequest tech companies specified arsenic Intel are warring to support up.

FormFactor’s cuts are portion of restructuring plans that “are intended to amended align outgo operation and enactment gross borderline betterment to the Company’s people fiscal model,” the institution said successful a filing to the U.S. Securities and Exchange Commission this week.

The institution plans to consolidate its facilities successful Baldwin Park and Carlsbad, the filing said.

FormFactor didn’t respond to a petition for comment.

FormFactor has been impacted by tariffs and seen its maturation slow. The institution employs much than 2,000 radical and has been aiming to amended its nett margins.

In October, the institution reported $202.7 cardinal successful third-quarter revenue, down 2.5% from the 3rd 4th of fiscal 2024. The company’s nett income was $15.7 cardinal successful the 3rd 4th of 2025, down from $18.7 cardinal successful the aforesaid 4th of the erstwhile year.

FormFactor’s banal has been up 16% since January, surpassing much than $67 per stock connected Friday.