Intel's India unit faces scrutiny on expenses

BANGALORE, India -- Intel Corp.'s development center in India has come under scrutiny as part of the company's effort to cut worldwide spending by percent1 billion.

Intel currently employs more than 3,000 workers in India, including about 2,900 engineers and 100 sales and marketing staffers. But the semiconductor maker said it has initiated an efficiency program in India and other countries to evaluate ways to reduce costs.

In a statement, Intel's subsidiary in Bangalore said that the company "is seeking to improve significantly not just in costs, but in the essentials -- what we do and how we do it." The statement noted that the program will cut the company's worldwide workforce through attrition, redeployment and business changes.

A spokeswoman for Intel India declined to say whether there will be job cuts at the unit. Details of Intel's plans for the Indian operations will be disclosed in July, she said.