https://www.tomshardware.com/pc-components/cpus/intel-outlines-plan-to-break-free-from-tsmc-manufacturing-70-percent-of-panther-lake-at-intel-fabs-nova-lake-almost-entirely-in-house
8 replies (most recent on top)
Factory floor space over expansion way too soon. Put the cart before the EUV horse marketing shenanigans !
@obl - this prediction is giving me chills...already started job search, but it's too hard of a marker for semiconductor talents.
That's great you were able to read that article in Forbes
Listen...at the end of the day Intel will make bottom feeder chips..think automotive manufacturing....I am fully expecting about 50% headcount reduction. TSMC is full steam ahead and Intel cannot catch up EVER. The bleed of talented people is too far gone.
Intel will have two divisions...CCG and IFS. The revenue will be in the millions for the foreseeable future. Remember Tektronix? Exactly.....
This really isn't surprising, in my opinion, this is actually a good sign. If Intel doesn't eat its own brand of dog food than why would anyone else sign up to use foundry. The fact that intel lost its huge discount from TSMC now makes their own fabs more economical. If 18A is really the ground breaking process technology it has been hyped to be than there is no better way to showcase it. If 18A doesn't pan out the company is toast anyway.
500 million in sales for AI chips is a disgrace
Intel Says It Won't Even Make $500M From Gaudi AI Chips In 2024 Despite Nvidia Minting Billions: CEO Gelsinger Says Uptake 'Slower Than We Anticipated'
https://finance.yahoo.com/news/intel-says-wont-even-500m-194354930.html
This is one of the key reads for Intel's long-term survival - can we have competitive yields and cost structure on Panther Lake vs. TSMC by 2026 to demonstrate our manufacturing capability The other key read is progress on AI GPUs. This one has a similarities to the mobile chip decision by Otellini. 500 million in sales for AI chips is a disgrace given where
Nvidia, AMD and the custom chip work being done by Amazon and Google. No mobile chips and no AI chips is ki-ling Intel now - how can Intel survive by only servicing customers in a very limited market space?
It's the only cost effective thing to do assuming they are competitive in terms of efficiency and cost to produce. Those empty fabs are a huge financial liability, either fill them with Internal Production or IFS or keep showing loses.