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Core Viewpoint - Bosch Group announced plans to cut approximately 13,000 jobs by the end of 2030, primarily in the automotive parts division, now renamed the Mobility Solutions segment, significantly impacting employees in Germany [1][4] Group 1: Job Cuts and Financial Impact - The new job cuts are in addition to the previously announced plan to reduce 9,000 jobs in Germany in 2024, bringing the total to 22,000 job cuts in the country [1][4] - By the end of 2024, Bosch's global workforce is expected to be around 418,000 employees [1] - The Mobility Solutions segment contributed €55.8 billion to Bosch's total revenue of €90.3 billion in 2024, indicating its critical role in the company's financial structure [4] Group 2: Reasons for Job Cuts - Bosch cited a sharp decline in market demand leading to significant overcapacity across administrative, sales, R&D, and production departments [4] - The company faces an annual cost gap of approximately €2.5 billion in the Mobility Solutions segment, attributed to a sluggish global automotive market and slow adoption of new technologies like hydrogen energy [4][5] - The automotive industry is undergoing structural changes, facing high price and competitive pressures [4] Group 3: Specific Job Cuts by Location - The Feuerbach site will see a reduction of about 3,500 jobs, primarily in R&D, sales, administration, and production, due to declining demand for diesel vehicle components [5][6] - The Schwieberdingen site will cut approximately 1,750 jobs due to worsening order conditions and slow technology rollout [6] - The Waiblingen site plans to cease production of connector technology by the end of 2028, affecting around 560 employees [6] - The Bühl site will eliminate about 1,550 jobs across various functions, while the Homburg site will cut around 1,250 jobs, primarily in diesel truck components [7][8] Group 4: Broader Cost-Cutting Measures - Bosch's job cuts are part of a larger cost-reduction strategy that includes applying AI in manufacturing to enhance efficiency and reduce material costs [11] - The company plans to invest over €2.5 billion in AI by 2027, anticipating significant revenue from AI-assisted driving solutions by 2035 [11] - Bosch is facing challenges from rising tariffs, weak market demand, and high energy prices in Germany, compounded by demographic pressures increasing labor costs [11]