Intel Halts Corporate Shuttle Operations Amid Cost-Cutting Measures

Intel, the renowned US chipmaker, has decided to suspend its corporate shuttle service, Intel Aviation, as part of a broader initiative to slash costs, according to The Oregonian. This move is part of a series of measures following the company’s financial downturn, with a reported net loss of USD 1.6 billion in the second quarter of 2024.

The Intel Aviation service, which had only resumed in April 2024 after a year-long hiatus, primarily connects Intel’s West Coast facilities, operating flights from locations such as Portland Hillsboro, Sacramento Mather, San José, and Phoenix Williams Gateway. The service utilizes a fleet that includes two E145s and two E175s, all managed under the ‘HGT’ code by GMJ Air Shuttle, a division of XOJET Aviation.

Ownership records from ch-aviation indicate that the Embraer aircraft operated by Intel do not belong to the company but are leased — the E145s from Truist Equipment Finance Corp and the E175s from Azorra Aviation.

The suspension of the shuttle service was mentioned by Intel CEO Pat Gelsinger during an internal chat with employees, noting that it forms part of a sweeping USD 10 billion cost reduction strategy. This strategy will affect various employee benefits and programs, including the shuttle service. Details on the exact timeline for the pause in Intel Aviation operations and the plans for the fleet’s future have not been disclosed.

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com