Intel ejects Foundry as independent subsidiary
Pauses European fabs, scores secret US gig, teams up with Amazon, re-orgs its innards, and more!
Is it just me, or is it worrying how companies keep packing up and selling off the only parts of their businesses that actually, you know, make stuff, in favor of becoming full time bullshit peddlers?
Something something “we are more agile this way…”
They hope to incentivise customers to use intel foundries by splitting them off. Intel compete with AMD and nvidia in many segments, so neither of these companies would want to manufacture their products at intel. But turning their foundries into a separate company could maybe change that (probably not). Their foundries also bleed money like crazy, separating them could stabilize share prices for the 'main' intel brand.
How else are they going to maximize wealth extraction?
AMD would have gone broke if it didn't
Intel Foundry scores $3B for defense chips
On a busy Monday, Intel also revealed it won up to $3 billion in funding under the CHIPS and Science Act to establish a secretive manufacturing program called the "Secure Enclave."
This is probably the saving grace for Intel, USA will not allow to be dependent on production outside USA, and AFAIK there are no other remaining US foundries left that are remotely competitive with a world leading production process.
Yep, for better or worse, Intel is pretty much the only remaining Western "bleeding-edge" CPU designer manufacturing its products in its own fabs. I find it weird that so many people seem to root for Intel to fail.
It's kinda like saying it's weird we want Boeing or Raytheon to fail, these are companies that screw us over in the name of profit.
Once TSMC Arizona is up and running (probably 2027 or so), that's going to be a supply chain that goes through entirely friendly countries, not at significant geopolitical risk.
They are going to spin it off eventually, aren't they?
It is very likely.
I was going to read this post, but I saw an AI image.
