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Broadcom to lay off 200 workers in San Diego

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Broadcom will lay off 203 workers in San Diego as a result of the company’s decision to exit the cellular radio business.

The Irvine-based firm filed Worker Adjustment and Retraining Notification (WARN) paperwork with the San Diego Workforce Partnership and state Employment Development Department this week about the job cuts, which become effective in late September through early November.

Laid off workers can apply for other open positions at Broadcom, the company said. But they’re not likely to find many openings.

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Broadcom expects to cut 2,500 jobs worldwide as it winds down its money losing cellular chip business, where it has been unable to gain meaningful market share against Qualcomm and others – particular in the high speed, 4G LTE market.

The semiconductor maker had tried to sell its cellular radio unit, but buyers didn’t emerge. Its cellular division designs chips used to link smartphones, tablets and other mobile devices to cellular networks. The company expects to save $700 million by shuttering the business – mostly in reduced research and development spending.

A Broadcom spokeswoman declined to comment on the layoffs.

While Broadcom was losing money in cellular, it does have profitable Wi-Fi/Bluetooth connectivity chip business, and it is a leading supplier of semiconductors used in network infrastructure, broadband networks and set-top boxes.

Broadcom leases a 91,000 square foot building in Rancho Bernardo, where it works not only on cellular technology but also Wi-Fi, near field communications, Bluetooth and other chips. The company employed an estimated 450 workers in San Diego before the layoffs.