Thread regarding IBM layoffs

IBM and Rapidus are not a good fit

https://samgwray.substack.com/p/ibm-and-rapidus

And IBM has a proven history of quality research with decisions not conducive to achieving scale. Their default position, for over 30 years, has been to prove something is possible and then drop out of manufacturing. This is understandable: when they have tried to compete with foundries, they have often made the wrong decisions. Nobody cared about their developments in copper wiring enough to buy from them; they developed a Common Platform based on an ethos that customers didn’t care about; they were too late to gate-last and ki-led the Common Platform. In their time as a research organization, Global Foundries is the only company that attempted to build an IBM process, and they ended up abandoning the leading edge altogether after a reported billions of dollars of investment. Samsung, though part of the Research Alliance for its entire tenure, never chose to use IBM’s process directly, and opted to take the expertise gained from the partnership to implement their own process. IBM has no demonstrated capacity to take their leading edge research and apply it to a real, large-scale foundry.


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Post ID: @OP+1m5bgcyj8

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Oh, people were held accountable just not the people who actually deserved it. The usual favorites were handpicked to lead this supposedly triumphant endeavor, and Albany IBM finally had something it could call a real customer sort after decades of trying. I distinctly remember Jon K repeatedly boasting on multiple occasions that Rapidus came to IBM because “we’re the best at this.” As the article makes painfully clear, that was hardly the case. Rapidus came to us because we were effectively their only option and probably the cheapest. Well, you get what you pay for.

The deal was fundamentally flawed from the outset. The business case, technical capabilities, supply chain, and logistics barely made sense on paper, let alone in practice. Plenty of people could see the problems coming. Rapidus apparently didn’t, and when reality finally caught up with the sales pitch, they felt misled. Frankly, they had every right to.

Remember the big prototyping push from two years ago? Whatever happened to that grand initiative? Where is the guy who was supposedly leading it a year later? Another big endeavor, another round of self-congratulation, and then silence. It went absolutely no where. Albany simply isn’t equipped to execute these kinds of ventures at the scale and complexity being promised. But admitting that would require an honest assessment of the site’s limitations, and IBM’s leadership seems far more comfortable pretending those limitations don’t exist.

The RIE leadership absolutely botched this one. This wasn’t some unforeseeable technical mishap; it was a predictable failure of judgment, strategy, and execution. The people responsible should have been held accountable, starting with the leaders who sold the vision, approved the approach, and insisted on treating optimism as a substitute for operational reality.

Instead, the usual playbook prevailed: protect the favored few, shuffle the leadership deck, and move the responsible parties safely out of the line of fire. The people who actually had to live with the consequences were left holding the bag.

That is the real IBM failure here. Not just that the Rapidus endeavor went sideways, but that a leadership culture capable of engineering such a preventable disaster can still engineer its own escape from accountability.

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Post ID: @e6+1m5bgcyj8

The IBM–Rapidus deal was doomed from the start. Everyone knew it, even before the contracts were signed. Yet that didn’t stop a certain director from taking a victory lap only to bail when things started going sideways. Remember when we simply stopped reporting yields altogether? At MCMs, they were too polite to even ask. They desperately want out, but cultural politeness prevents them from forcing the issue. This was a massive failure in the making, a disaster and disappointment long before it officially began. No one held accountable.

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