There is a good chance for Intel to recover, but that remains to be proven.
From their long pipeline of future CMOS manufacturing processes with which Intel hopes to close the performance gap between them and TSMC, for now there exists a single commercial product: Meteor Lake, which consists mostly of chips made by TSMC, with one single Intel 4 die, the CPU tile.
The Meteor Lake CPU seems to have finally reached the energy efficiency of the TSMC 5-nm process of almost 4 years ago, but it also has obvious difficulties in reaching high clock frequencies, exactly like Ice Lake in the past, so once more Intel has been forced to accompany Meteor Lake with Raptor Lake Refresh made in the old technology, to cover the high-performance segment.
Nevertheless, Meteor Lake demonstrates reaching the first step with Intel 4.
If they will succeed to launch on time and with good performance, later this year, their server products based on Intel 3, that will be a much stronger demonstration of their real progress than this Meteor Lake preview, which has also retained their old microarchitecture for the big cores, so it shows nothing new there.
Only by the end of 2024 it will become known whether Intel has really become competitive again, after seeing the Arrow Lake microarchitecture and the Intel 20A manufacturing process.