Advanced Micro Devices, or AMD, is laying off 4% of the company in a slash that will hit at least 129 Bay Area workers. The chipmaker is a key Nvidia rival.

AMD lays off 1,000 employees as it shifts focus to AI chips, aiming to compete with Nvidia in the growing data center market.

The company’s data centre segment has performed vastly better than its personal computer and gaming units this year.

Computer chipmaker AMD is laying off around 1,000 employees, or around 4% of its workforce, becoming the latest Silicon Valley tech giant to slash expenses. The Santa Clara-based company said it is “aligning our resources with our largest growth opportunities.