GlobalFoundries made a pivotal mistake in 2018 by shifting its focus from cutting-edge semiconductor manufacturing to essential chips produced with older technology (12nm and above). This move, intended to save costs, led to reduced R&D and capital expenditures but also limited its growth potential, especially as demand for advanced chips surged. The decision forced key clients, like AMD, to move to competitors like Taiwan Semiconductor (TSMC). Now, GlobalFoundries struggles with saturated markets and declining revenues, missing out on the fast-growing, high-tech chip sector.
@rxe+1uttpMwi makes an excellent ppoint.