The chipmaker is trying to grow by cutting jobs.

Advanced Micro Devices (AMD) is laying off 4% of its global workforce, around 1,000 employees, as it pivots resources to developing AI-focused chips. This marks a strategic shift by AMD to challenge Nvidia’s lead in the sector.

Advanced Micro Devices is laying off 4% of its global workforce, or about 1,000 employees, as it directs efforts towards developing AI chips in a bid to compete against industry bellwether Nvidia .

The move follows other cutbacks among longtime Silicon Valley companies. Cisco Systems Inc. is eliminating more than 6,000 positions, and Intel is cutting about 15% of its workforce of more than

AMD lays off 1,000 employees as it shifts focus to AI chips, aiming to compete with Nvidia in the growing data center market.