Samsung Electronics has laid off employees in its U.S. consumer electronics business, affecting employees in its display, mobile phone and other consumer electronics divisions. this layoffs Primarily affecting employees in New Jersey and Texas.
Samsung Electronics America (SEA), which oversees Samsung’s U.S. consumer electronics business, is moving its headquarters from New Jersey to Texas, the company said. Reuters. Samsung said in a statement that 739 jobs in Englewood Cliffs, New Jersey, would be affected by the headquarters relocation. Samsung clarified that Samsung Electronics America does not include its chip business. The company said most of the affected employees have been advised to relocate to Texas.
Samsung also confirmed that some workers who could not be relocated had been laid off. About 100 employees at Samsung’s Plano, Texas, office also lost their jobs, including those in the mobile unit, a person affected by the layoffs told Reuters. The sources requested anonymity due to the sensitivity of the matter. Samsung Electronics America did not specify the total number of layoffs.
Samsung U.S. layoffs
Documents reviewed by Reuters show that Samsung notified some employees of “company-wide layoffs” on June 30. The documents also said the layoffs would have a “significant impact,” Reuters reported. LinkedIn posts show that more than 30 employees have publicly said they lost their jobs or left Samsung in recent weeks. These employees include senior sales and marketing officers in Texas, New Jersey and several other locations across the United States.
Samsung moves to Texas
According to Reuters, layoffs at Samsung Electronics America have never been reported before. Samsung said the headquarters relocation may change its workforce as some employees may not relocate and some job functions are being restructured. Samsung said the changes are designed to better match its business priorities. The layoffs highlight the varying performance of Samsung’s various businesses.
Samsung’s chip division performed very well due to strong demand for artificial intelligence chips. At the same time, Samsung’s consumer electronics business is under pressure as chip costs rise sharply. According to Reuters, Samsung recently said it expected second-quarter profits to increase about 19 times from last year, mainly due to artificial intelligence-driven chip demand. The company also announced last month plans to invest hundreds of billions of dollars in new chip factories.
Samsung chip business grows
Samsung’s mobile business is expected to post a loss for the first time. The mobile segment is facing stiff competition from Apple. Samsung also faces fiercer competition from Chinese companies such as TCL and Hisense in the field of TVs and home appliances. Rising chip prices linked to the artificial intelligence boom have hurt profits from Samsung’s consumer electronics products. Samsung’s move surprised many, as New Jersey employees moved into the new offices less than a year ago.
About 1,200 Samsung Electronics America employees work in New Jersey, Reuters reported, citing a press release from U.S. Rep. Josh Gottheimer. Josh Gottheimer attended the opening of Samsung’s New Jersey office in September. samsung latest layoffs The layoffs are similar to those at other major technology companies. Companies such as Microsoft, Amazon and Meta have also reduced their headcount while investing more in AI infrastructure.
Worried about more layoffs
Samsung also joins companies such as Tesla and Oracle in expanding operations in Texas. Texas is considered attractive because of its lower taxes and business-friendly rules. Texas already has a Samsung chip manufacturing plant and mobile business center in Plano. A current employee at Samsung Electronics America told Reuters workers were worried more layoffs could occur.
According to Reuters, the employee also said there are concerns that Samsung may merge its appliances, home entertainment and mobile businesses as it shifts more resources to chips. Samsung has denied it is undertaking a broad global restructuring of its consumer electronics business. The company said the move was to improve teamwork and bring employees closer together in the evolving technology and artificial intelligence ecosystem.
As of the end of 2025, Samsung Electronics had 11,770 employees in the United States, including employees in the chip business. In addition, Samsung’s IT services arm, Samsung SDS USANew Jersey authorities have been notified that 179 jobs in Ridgefield Park may be affected, Reuters reported. Samsung said the changes at Samsung SDS America are only related to the relocation of its North American headquarters and are not part of layoffs or restructuring.
