Core Viewpoint - The article discusses the restructuring and layoffs at STMicroelectronics, highlighting the challenges faced by the semiconductor industry amid a market downturn and the company's strategic shift towards new business areas while managing employee concerns and project delays [1][2][4]. Group 1: Layoffs and Restructuring - STMicroelectronics announced a global layoff of 2,800 employees, with 1,000 planned layoffs in France by the end of 2027, amidst a restructuring effort [1]. - As of now, 370 employees have already left through placement and career planning programs [1]. - The closure of the 200mm wafer production line at the Crolles facility is a significant part of this restructuring [2]. Group 2: Market Conditions and Financial Performance - The microelectronics market is experiencing cyclical fluctuations, with STMicroelectronics facing a revenue decline of 23.2% year-on-year in 2024 and a further 15% drop in the first three quarters of 2025 [2]. - The company’s products cater to various industrial sectors, including energy, healthcare, automation, and electric vehicles [2]. Group 3: New Business Initiatives and Challenges - STMicroelectronics is venturing into new business areas such as chip packaging and wafer electrical testing, but these areas are more automated than the 200mm wafer production line [4]. - The "Liberty" expansion project aims to double the capacity of the 300mm wafer production but has faced delays due to issues in the public consultation phase [4][5]. Group 4: Project Delays and Investment Issues - Of the six planned production facilities for the expansion project, three are completed, but equipment delivery is significantly delayed [5]. - The project has received 70% of its planned investment, with production expected to start in 2024, although specific capacity details remain undisclosed [5]. - The partner, GlobalFoundries, has not fulfilled its investment commitments, causing further delays [5]. Group 5: Employee Concerns and Government Support - Recent announcements from GlobalFoundries regarding investments in Germany and the U.S. have heightened employee anxiety about job security at STMicroelectronics [7]. - The project was initially expected to create 1,000 jobs, but only about 250 have been created so far [7]. - The French government has begun disbursing subsidies, with a total potential of €1.05 billion, but delays in project progress have affected the release of funds [8].