The layoffs would affect about 1,040 employees and are part of a shift in AMD’s broader business strategy.

Advanced Micro Devices said Wednesday roughly 4% of approximately 26,000 employees worldwide will be laid off. About 1,000 AMD workers will lose their jobs.

With shares down by a whopping 32% from their all-time high of $211 in March, Advanced Micro Devices ( AMD 1.97%) is rapidly falling out of favor despite its direct exposure to the industry through data center hardware sales. Let's dig deeper into the company's pros and cons to decide if it still has millionaire-maker potential over the long term.

AMD on Wednesday said that it would reduce its global workforce by 4% in a bid to focus on its main future growth opportunities. As a result of the decision, the company will have to lay off around 1,