CEO, Paul Otellini, told employees in an e-mail yesterday that he would reveal the results of the review in an internal Webcast on Tuesday, the New York Times reports, citing an unnamed Intel employee.

A spokesman for Intel says that the company is on track to announce a restructuring plan before the end of the third quarter, meaning some time this month. "But we are not announcing plans to do anything at this stage," says Intel spokesman, Chuck Mulloy, calling the talk of layoffs "speculation".

Intel warned in April that its profits would fall sharply this year and said it would restructure the company to cut spending by more than $1bn. "We are going to restructure, repurpose and resize Intel for the future," Otellini said at the time.

The company has battled this year with a slump in the growth rate of PC sales and from increased competition from Advanced Micro Devices, which has been increasing its share of the market, particularly in servers.

Intel has vowed to claw the market share back with a new generation of dual-core microprocessors that it started to roll out in June.