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Intel's Day of Reckoning Arrives: 15,000 Jobs Will Be Eliminated

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Re: Intel's Day of Reckoning Arrives: 15,000 Jobs Will Be Eliminated

#5

Post by xadhominemx »

otachack wrote: post #4
adrr wrote: post #3

Intel received almost $20 billion from the CHIPS act and cuts their employees. So glad we gave them money.

How else will the poor shareholders and top execs get their fair share??

They cut the dividend to zero and execs are paid in stock grants which have been haircut in value by 60% ytd. So both of those parties are doing badly.

Re: Intel's Day of Reckoning Arrives: 15,000 Jobs Will Be Eliminated

#6

Post by apantel »

adrr wrote: post #3

Intel received almost $20 billion from the CHIPS act and cuts their employees. So glad we gave them money.

Intel’s and the US’s main priority is for Intel to survive as a business over the coming decades and become competitive again. They’re going to do whatever they have to.

Re: Intel's Day of Reckoning Arrives: 15,000 Jobs Will Be Eliminated

#7

Post by MangoCoffee »

adrr wrote: post #3

Intel received almost $20 billion from the CHIPS act and cuts their employees. So glad we gave them money.

The point of the CHIPS Act is to bring semiconductor manufacturing back to the U.S. Whether it will be a success or not is another discussion. GlobalFoundries, TSMC, Samsung, and others also received money from the CHIPS Act.

Re: Intel's Day of Reckoning Arrives: 15,000 Jobs Will Be Eliminated

#10

Post by setgree »

I am not an industry insider or analyst, but IMO, the proper time to take a hard look at the business, and make cuts like this, was probably right around when Apple's silicon got released to glowing reviews. If Apple could get better performance & better battery life than anything Intel could offer with a fraction of the resources (devoted to processors, anyway), that was a damning wakeup call. Now, Dell, Samsung, and and Asus are all debuting ARM-based laptops as well, also to glowing reviews. Meanwhile, Intel's 13th and 14th generation chips are having serious issues [0], and the marginal costs of their next-gen chips are forecasted to be unusually high [1].

It's been rehearsed to death that Intel missed the boat on mobile, AI, and datacenters. But if they can't even compete in CPUs for laptops, where they could and should be absolutely dominant, bankruptcy is a serious possibility in the not too distant future.

The thing that strikes me as truly bizarre about Intel's downfall is that their rivals often make big, obvious mistakes. The one that comes to mind is: what was AMD thinking with their 8600G and 8700G releases? Their pricing made no sense [2], and the laptop-based parts with the same GPUs are, evidently, perfectly fine for mini-pcs where a discrete GPU isn't possible [3]. So there was no obvious market need there (except may be for home-builders, but even there, a lot of cheap CPU/GPU combos made more sense for most use cases). Now we have Zen 5 parts coming out in the same year that blow the previous generation out of the water [4]. This is not a coherent strategy. This is not an unbeatable adversary.

I hope Intel pulls it together for competition's sake, because right now, a lot of things about the consumer PC market could stand to be improved.

[0] https://www.tomshardware.com/pc-components/cpus/intel-announ...

[1] https://www.tomshardware.com/pc-components/cpus/intel-lunar-...

[2] https://www.techspot.com/review/2796-amd-ryzen-8700g/

[3] https://minipcs.org/

[4] https://www.anandtech.com/show/21485/the-amd-ryzen-ai-hx-370...

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