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

Company Overview - FormFactor, a semiconductor testing equipment company, is laying off over 200 workers and closing manufacturing facilities to cut costs due to higher import taxes [1][6] - The company plans to close its Baldwin Park facility, resulting in 113 job losses, and its Carlsbad facility, leading to 107 job losses [2] Industry Context - The semiconductor testing equipment industry has been benefiting from increased AI chip adoption and infrastructure spending [3] - The tech industry in California has faced significant job losses post-pandemic, influenced by economic uncertainty and the rise of AI tools that are reshaping the workforce [4] Restructuring Plans - FormFactor's workforce reductions are part of restructuring plans aimed at aligning cost structure and improving gross margins [6] - The company is consolidating its facilities in Baldwin Park and Carlsbad as part of these efforts [7] Competitive Landscape - Companies like Nvidia and OpenAI have thrived during the AI boom, while legacy tech firms such as Intel are struggling to keep pace [6] - The competitive landscape in the tech industry has led to cuts in middle management and other roles as companies accelerate the release of AI-powered products [5]