Samsung Electronics America is reducing its workforce by 739 employees in Englewood Cliffs, New Jersey, as part of the relocation of its U.S. consumer electronics headquarters to Plano, Texas, Reuters news report said.
Credit Samsung
The workforce reduction, disclosed through a WARN notice, affects Samsung’s consumer electronics business and does not include its semiconductor operations. The company said a majority of the affected employees have been offered relocation opportunities, while others have been laid off.
The restructuring impacts Samsung’s Texas operations, where approximately 100 employees, including staff in the mobile division, have reportedly lost their jobs. Samsung said the headquarters relocation is intended to improve collaboration by bringing more teams together within Texas’ growing technology and AI ecosystem. The decision is notable because employees in New Jersey had moved into new offices less than a year ago following the facility’s opening in September, where the site employed around 1,200 workers.
The job cuts come as Samsung’s businesses move in different directions. The company’s semiconductor division is expected to report a 19-fold increase in second-quarter profit, driven by booming AI-related chip demand, while Samsung continues investing hundreds of billions of dollars in new semiconductor manufacturing plants.
In contrast, its mobile division is projected to post its first-ever operating loss amid intense competition from Apple and Chinese brands such as TCL and Hisense, while higher AI-driven memory chip costs continue to pressure margins across televisions, smartphones, and home appliances.
Samsung’s restructuring mirrors similar workforce reductions across the technology sector as companies redirect investment toward artificial intelligence. The company joins Microsoft, Amazon, and Meta in trimming consumer-facing operations while increasing AI spending.
Microsoft is reportedly planning layoffs affecting less than 2.5 percent of its 220,000 employees as it reallocates resources toward AI, with planned AI-related investment estimated at around $190 billion.
Amazon has eliminated more than 16,000 corporate roles as part of efforts to streamline operations and reduce bureaucracy while expanding AI and cloud infrastructure investments.
Meta has cut about 10 percent of its workforce, impacting roughly 8,000 employees, while raising its AI investment to approximately $135 billion and redirecting resources toward AI development.
Samsung has followed Tesla and Oracle in expanding its presence in Texas, where it already operates semiconductor fabs and its mobile business hub in Plano. Samsung Electronics employed 11,770 people in the United States at the end of 2025, including its semiconductor workforce.
Separately, Samsung SDS America has indicated that 179 positions could be affected at its Ridgefield Park, New Jersey, operations due to the relocation of its North American headquarters, though Samsung said those changes are unrelated to layoffs or restructuring.
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