Samsung Electronics has cut 739 positions at its Samsung Electronics America (SEA) office in Englewood Cliffs, New Jersey, as it shifts its US consumer electronics headquarters to Texas. The move affects employees across its display and smartphone businesses and forms part of a broader workforce restructuring tied to the relocation, according to Reuters, citing company statements and sources.
The company said many impacted employees have been offered relocation packages, while others have been laid off. SEA oversees Samsung's consumer electronics operations in the US and does not include its semiconductor business.
The cuts come at a time when Samsung's semiconductor division is benefiting from surging demand for AI memory chips, while its consumer electronics business faces rising costs and tougher competition.
Headquarters relocation reshapes US workforce
In a statement to Reuters, Samsung said the 739 job reductions in New Jersey are directly linked to its decision to move its US consumer electronics headquarters to Texas.
Separately, around 100 employees at Samsung's Plano, Texas, office, including staff from its mobile division, have also been dismissed, according to a person familiar with the matter cited by Reuters.
Samsung said the relocation "may lead to changes in our workforce structure, such as employees who are unable to relocate, or certain functions that are optimised to ensure our roles align to key business priorities."
The company also stressed there is no company-wide restructuring under way across its global consumer products business and linked the workforce changes specifically to the headquarters move.
A sharp change within a year
The relocation marks a significant shift for Samsung's New Jersey operations.
Less than a year ago, the company celebrated the opening of its new Englewood Cliffs offices. According to a press release issued by US Representative Josh Gottheimer, who attended the inauguration last September, Samsung Electronics America employed around 1,200 people in New Jersey at the time.
Reuters also reported employees began receiving notices on 30 June informing them of an "enterprise-wide reduction-in-force", with the company acknowledging there would be a "significant number of impacts."
LinkedIn activity has also reflected the scale of the workforce changes, with more than 30 employees, including senior sales and marketing executives across Texas, New Jersey and other US locations, announcing in recent weeks they had either been laid off or had left the company.
Consumer electronics faces mounting pressure
Although the layoffs are linked to the headquarters relocation, they also underscore the diverging fortunes of Samsung's businesses.
Its semiconductor division continues to benefit from the global AI boom. Samsung recently projected a 19-fold increase in second-quarter operating profit, driven by strong demand for AI memory chips. The company has also announced plans to invest hundreds of billions of dollars to expand semiconductor manufacturing capacity.
Its consumer electronics business, however, faces a more challenging environment.
According to Reuters, Samsung's mobile division is expected to report its first-ever operating loss as competition from Apple intensifies. Its television and home appliance businesses are also under pressure from Chinese manufacturers including TCL and Hisense, while higher semiconductor costs associated with AI demand have squeezed margins across its consumer electronics portfolio.
Key figures at a glance
- 739 positions affected at Samsung Electronics America in Englewood Cliffs, New Jersey
- Around 100 employees dismissed at the company's Plano, Texas, office, according to Reuters
- Approximately 1,200 employees worked at Samsung Electronics America in New Jersey last year, according to US Representative Josh Gottheimer
- 11,770 employees worked across Samsung Electronics' US operations at the end of 2025, including semiconductor staff
- Samsung SDS America has separately notified New Jersey authorities it may eliminate 179 positions at its Ridgefield Park office under a June labour filing
Texas continues to attract major technology investments
Samsung's relocation also reflects the growing appeal of Texas as a technology hub.
The state already hosts Samsung's semiconductor manufacturing facilities and its mobile operations hub in Plano. It has also attracted investment from companies including Tesla and Oracle, drawn by its business-friendly policies and lower taxes.
For Samsung, the headquarters move aligns its consumer electronics operations more closely with its expanding footprint in Texas. At the same time, it highlights how companies are reshaping workforces while redirecting investment towards businesses benefiting most from the AI boom.