Intel said Friday that it will cut about 5,000 jobs from its workforce of 107,000.

The world’s biggest chip maker made the announcement a day after it reported earnings that missed analyst targets. Brian Krzanich, chief executive of Intel, said the company expects flat sales of its chips due to the decline of the PC industry as smartphones and tablets supplant computers with many consumers.

“Intel will be aligning resources to meet the needs of the business this year. This will include targeted workforce reduction in addition to realignment of resources,” Intel said in a statement provided to CNET.

The statement continued, “While we expect that employment will come down by approximately 5 percent this year, we are not announcing a layoff. When we talk about reduction of the workforce, there are a number of things that can happen. It could include redeployments, voluntary programs, retirements, and through attrition.”

During an analyst call, Krzanich said that enterprise computing sales were particularly weak, though data center and cloud-related sales were strong. Intel is shifting more resources behind tablet chips and said its goal for 2014 was to sell 40 million tablet chips, compared to 10 million in 2013.

He also acknowledged that Intel would delay starting its Fab 42 chip factory in Arizona.

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