Intel had over 130,000 employees as of a couple of months ago. 15% layoffs is nearly 20,000 people.
[deleted]
Intel Reports Second Quarter 2024 Financial Results
31–40 of 137 posts
Re: Intel Reports Second Quarter 2024 Financial Results
#32Earlier quoted context omitted.
10 years from now, when the downfall of Intel is being taught at business schools, what are going to be the big takeways and now-obvious mistakes?
Probably not offering fab time to other companies when they were process leaders. TSMC ate their lunch and managed to leapfrog Intel due to their massive R&D efforts fueled by cell phone chips.
This one is an interesting take. In hindsight it's pretty obvious but if you are in that situation at that time it seems like you would be selling your crown jewels for pennies.
Re: Intel Reports Second Quarter 2024 Financial Results
#33Suspending the dividend is poetic in a sense. They'd been taken over by bean counters decades ago and slowly pissed away their privileged position at the top of computing. They essentially ended up where Boeing did, but at least didn't kill anybody.
Maybe. On Intel's scale almost everything you do wrong kills people, at least statistically. Though, so does everything you do right, but probably less. How many human lifetimes were spent cleaning up and mitigating the microarchitecture vulnerabilities?
Re: Intel Reports Second Quarter 2024 Financial Results
#34Earlier quoted context omitted.
Leadership changed back to an engineer with the return of Pat Gelsinger in 2021. I’d give him a couple more years. It takes time to turn around a big ship like Intel.
Everyone around here keeps talking about how the problem of Intel is that it was a Business guy running the company and not an engineer, and it feels so similar to when people claimed Phil Spencer was going to save Xbox. Truth is, Pat is doing nothing despite the generous government subsidies
Not everyone is cut from the same cloth. Look at AMD, their CEO history has been staffed exclusively by people with engineering backgrounds, but their performance has had more than a few rocky points.
Re: Intel Reports Second Quarter 2024 Financial Results
#35This sounds worryingly like “sales are down, cut costs to maintain profitability to spike our stock numbers” and not enough focus on what I believe is actually wrong, which is that they can’t seem to reliably make competitive processors in a stiff market. Anyone else feel like this is bean counters at Intel playing the wrong game? I personally feel like leadership at Intel lost the plot almost a decade ago.
Leadership changed back to an engineer with the return of Pat Gelsinger in 2021. I’d give him a couple more years. It takes time to turn around a big ship like Intel.
he also dismissed arm. https://www.pcmag.com/news/intel-ceo-dismisses-threat-of-arm...
my gut reaction is that he wont be their ceo for long.
Re: Intel Reports Second Quarter 2024 Financial Results
#36Earlier quoted context omitted.
10 years from now, when the downfall of Intel is being taught at business schools, what are going to be the big takeways and now-obvious mistakes?
Probably not offering fab time to other companies when they were process leaders. TSMC ate their lunch and managed to leapfrog Intel due to their massive R&D efforts fueled by cell phone chips.
Again ,the billions of mobile phones in the world would be running on Intel processors if they played their card well .
Re: Intel Reports Second Quarter 2024 Financial Results
#37Earlier quoted context omitted.
In my opinion, one the most reliable signs is when companies stop repeatedly investing into their product innovation. The moment they start behaving like an established behemoth (monopoly/oligopoly) and you see repeated stock buybacks and frequent layoffs, the end is coming. This applies to most large, inefficient corporations that get too comfy with success and forget how to pivot fast, take risks, and fiercely figh…
>> The moment they start behaving like an established behemoth (monopoly/oligopoly) and you see repeated stock buybacks and frequent layoffs, the end is coming. Add to that the suspension of the dividend, and the packaging of the FPGA business (getting ready to sell it?) and the reference to idle capacity - guess they can't even fill that with their foundry business. One thing I've noticed is that predicting timing i…
> You can see a company showing signs of impending failure and somehow stock price still increases for a while, or the company decays slowly over a very long time
But Intel's stock has been stagnant for years.
Re: Intel Reports Second Quarter 2024 Financial Results
#38Earlier quoted context omitted.
Leadership changed back to an engineer with the return of Pat Gelsinger in 2021. I’d give him a couple more years. It takes time to turn around a big ship like Intel.
he also dismissed arm. https://www.pcmag.com/news/intel-ceo-dismisses-threat-of-arm... my gut reaction is that he wont be their ceo for long.
It’s still far from clear that ARM for Windows will be going anywhere. And Intel is trying to increase ISA diversification with their foundry business.
Re: Intel Reports Second Quarter 2024 Financial Results
#39Earlier quoted context omitted.
>> The moment they start behaving like an established behemoth (monopoly/oligopoly) and you see repeated stock buybacks and frequent layoffs, the end is coming. Add to that the suspension of the dividend, and the packaging of the FPGA business (getting ready to sell it?) and the reference to idle capacity - guess they can't even fill that with their foundry business. One thing I've noticed is that predicting timing i…
I am convinced that the decay is often very slow. There are signs of impending failure and it frequently drags out for many, many years. Then, eventually, you'll see a "straw that breaks the camel's back" and the hollow shell of the company will finally, fully implode.
> I am convinced that the decay is often very slow. There are signs of impending failure and it frequently drags out for many, many years.
When Jobs contacted Otellini about having Intel fab an ARM chip for them and Otellini said no... That's probably about the time their fate was sealed. And that would've been around 2006. Yes, there were plenty of signs prior to that. For example: AMD needed a lot less engineers to spin a new processor rev than Intel did and AFAIK that's still the case.
Re: Intel Reports Second Quarter 2024 Financial Results
#40Earlier quoted context omitted.
10 years from now, when the downfall of Intel is being taught at business schools, what are going to be the big takeways and now-obvious mistakes?
Don't run your own fab? It makes business sense but I don't know if I like that answer. What if everyone did that? Should everyone just use TSMC? That's stupid IMO.
Somebody's gotta run fabs. And hopefully some US company can run fabs successfully, otherwise we seem to be kind of screwed.