The tech layoffs of 2025 were not distributed evenly across the globe. Instead, they were concentrated in specific geographic hubs, revealing a new map of economic vulnerability.
Data from UK-based forex company RationalFX shows that US-headquartered companies accounted for 69.7 per cent of all global tech layoffs, with California and Washington State bearing the brunt.
California: The epicentre of disruption
California remains the heart of the global tech industry, and consequently, its primary casualty. The state recorded 73,499 job cuts in 2025, accounting for roughly 43.08 per cent of all tech layoffs in the US. Silicon Valley’s heavyweights — including Intel, Salesforce, Meta, and HP — were the primary drivers of these redundancies.
Also Read: Big Tech’s efficiency paradox: Record profits, record layoffs
Washington State followed as the second-hardest hit hub, with 42,221 jobs lost. The state’s reliance on Microsoft and Amazon (which together cut nearly 40,000 roles) makes its local economy uniquely sensitive to the strategic shifts of just two corporate boards.
The rise of New York
Interestingly, New York State rapidly climbed the layoff rankings toward the end of the year, recording 26,900 job cuts. The vast majority of these were concentrated in New York City, which now accounts for 15.8 per cent of the US total. IBM was the single most significant contributor to New York’s woes, responsible for 9,000 redundancies in the state alone.
Europe’s fragile tech ambitions
Across the Atlantic, Ireland emerged as Europe’s most affected nation. This was primarily due to Accenture’s global restructuring, which saw 11,000 jobs cut from its Irish operations as part of its AI strategy. Other European players, such as Spain’s Telefónica, also contributed to the regional total by eliminating 7,000 roles late in the year.
However, the most symbolic failure in Europe was Northvolt’s collapse. The Swedish battery manufacturer, once hailed as Europe’s answer to Asian battery dominance, filed for bankruptcy in March 2025. The move left at least 3,000 employees jobless and underscored the difficulty Western firms face in competing with established manufacturing hubs in China, Japan, and South Korea.
The Asian shift
The RationalFX report highlights a stark geopolitical reality: while Europe and the US were shedding roles, battery production and high-end hardware manufacturing remained firmly centred in Asia.
Also Read: When tech titans blink: 2025 exposed the Old Guard’s fragility
As we look toward 2026, the geographic concentration of these layoffs suggests that the “tech hubs” of the past decade may be the most volatile places to work in the next one. The global workforce is being redrawn, and for now, the lines are being written in Silicon Valley and Seattle, but the consequences are being felt from Skellefteå to Bangalore.
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The full report can be accessed here.
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