Samsung Electronics is cutting hundreds of jobs across its U.S. consumer electronics business as it prepares to relocate its American headquarters from New Jersey to Texas by the end of the year, according to an exclusive Reuters report.

A Worker Adjustment and Retraining Notification filed in New Jersey lists 739 affected positions at Samsung Electronics America’s offices in Englewood Cliffs. The cuts cover more than 60% of the company’s roughly 1,200 employees in the state, according to figures previously released by the office of U.S. Rep. Josh Gottheimer.

At least 100 workers at Samsung’s Plano, Texas, office have also been laid off, Reuters reported, citing a former employee who spoke to the news outlet. The Texas cuts affected staff across several operations, including the company’s mobile business.

Samsung said most of the affected New Jersey employees were offered the chance to relocate to Texas. Other workers lost their jobs.

The company confirmed that Samsung Electronics America plans to move its headquarters to Plano, where it already has a sizable corporate presence. Samsung said the relocation is intended to create “stronger collaboration and optimize the organization.”

The layoffs mark a sharp reversal for Samsung’s New Jersey operations. The company opened its renovated Englewood Cliffs campus in September 2025 after moving from a longtime headquarters in Ridgefield Park, where it had operated since 1992. Less than a year later, much of the workforce attached to the new site is being relocated or eliminated.

Internal documents reviewed by Reuters show that employees were informed of an “enterprise-wide reduction in force” on June 30.

Samsung Electronics America manages U.S. sales and marketing for the company’s smartphones, televisions, displays, home appliances and other consumer products. The unit does not include Samsung’s semiconductor operations, which have become an increasingly important source of profit for the company.

That split helps explain the timing of the restructuring.

Samsung’s chip business is benefiting from heavy spending on artificial intelligence infrastructure, which has pushed up demand for memory chips and advanced semiconductor manufacturing. The company expects AI-related demand to remain strong, though rising memory prices are placing added pressure on smartphone and computer makers.

Samsung has committed billions of dollars to semiconductor production in Texas, including a major fabrication facility in Taylor. The company has also secured a $16.5 billion multiyear agreement to manufacture Tesla’s next-generation AI6 chips at the Texas plant. The chips are expected to support Tesla’s autonomous driving systems, robotics projects and AI data centers.

The growth in Samsung’s semiconductor business stands in stark contrast to conditions across its consumer electronics divisions.

Samsung cuts U.S. consumer electronics jobs while doubling down on AI and chips

The company’s smartphone, television and appliance units face higher component costs, slower demand in some markets and intense competition from Apple, Chinese electronics brands and lower-cost manufacturers. Rising memory prices have become a particular concern for Samsung’s mobile unit, which buys chips internally at market-linked prices.

Employees inside Samsung Electronics America now fear that the current job cuts could be followed by further consolidation. One current employee told Reuters that workers are concerned the company may combine parts of its mobile, appliance and home entertainment businesses as management directs more resources toward semiconductors.

Samsung said there is no broad global restructuring underway across its consumer products operations.

The headquarters move strengthens Texas’ position at the center of Samsung’s U.S. strategy. The company already has chip manufacturing, research and mobile operations in the state, giving it a base that connects its corporate, consumer electronics and semiconductor businesses.

Samsung employed 11,770 people across the United States at the end of 2025, including workers in its chip division.

The changes extend beyond Samsung Electronics America. Samsung SDS America, the company’s information technology services affiliate, disclosed that 179 positions in Ridgefield Park, New Jersey, could be affected by a separate headquarters move. Samsung said those changes stem from the relocation of the affiliate’s North American headquarters and are not part of a layoff or restructuring program.

For Samsung, the U.S. overhaul reflects two businesses moving in opposite directions. AI demand is lifting its semiconductor operations and drawing investment toward Texas. Its consumer electronics units are facing higher costs, tighter margins and pressure to operate with fewer people.

For hundreds of Samsung employees, that shift now means choosing between relocating to Texas and leaving the company.