Intel downgraded from BBB+ to BBB. One of the reason mentioned is CEO departure, which adds uncertainty.
BTW, AMD rating is A-, which is 2 higher than BBB.
BTW, AMD rating is A-, which is 2 higher than BBB.
$8-9 billion is pennies compared to their investment and you can't magically decide for your CPUs foundry in a year Intel outsourcing to TSMC rumor came in 2020-2021? and we see the results in 2023 with MTL which was defined in 2019 4 years approx same with ARL so if they made decision in 2021 it will come in 2025Former GEO Pat Gelsinger plan was 7-8 year long. Intel bleeding cash and will only last 3 years. That why Biden gave $8-9 billion to shore up it cashflow and help Intel along. The foundry is where the bleed is at! Even Intel does not use it own foundry to make it's CPUs.
Former GEO Pat Gelsinger plan was 7-8 year long. Intel bleeding cash and will only last 3 years. That why Biden gave $8-9 billion to shore up it cashflow and help Intel along. The foundry is where the bleed is at! Even Intel does not use it own foundry to make it's CPUs.
They have to but not accelerate spending like they needed to catch up it will be regular cadence after 18A and board allowed to burn money in money pits instead of their core buisness what they did wrong is spent too muchThat's right. Intel forecasted break-even of foundry to be in 2027. But that's on basis of accounting Profit and Loss bases. Even further into the future, Intel would have to continue to pour cash into equipment to equip the fabs.
The cash requirements to build out the founry is something Intel is unable to meet. So rather than run our of cash, BoD is seeking alternative course of action.
They were fed lies by IFS and probably Pat too on the health and progress of the nodes.board allowed to burn money in money pits instead of their core buisness what they did wrong is spent too much
What do you have against him lol? Kranzich and swan did worse than him and board watched. Pats fabs are better plan than Kranzich Smart TshirtThey were fed lies by IFS and probably Pat too on the health and progress of the nodes.
Come on, we've all been there. Talking to our parents enthusiastically and telling them how much we could achieve with a desktop PC or laptop and then spending all our time on games? This is what Pat did with the board.
He should've implemented that plan AFTER fixing Intel's cash flow problem. He should've inspired the design teams to make a better product.Pats fabs are better plan than Kranzich Smart Tshirt
For fixing cash problem he should have made stride with his strategy smartlyHe should've implemented that plan AFTER fixing Intel's cash flow problem. He should've inspired the design teams to make a better product.
In another article they spoke about how splitting off foundry was an "open ended question" and talked about their openness to continue to outsource to TSMC even going forward.So they will follow Pat's strategy just be not trying to oversell it and be pragmatic nice Pat lacked it he was overly enthusiastic
I am more likely to read this as "we are selling" than "we are keeping"."We are more likely to tell you things after they are materializing rather than tell you what we are hoping to achieve in the future," he added. "This is why the board chose us to lead."
Tejas working at 7 GHz.some arbitrary, poorly-defined metric indicating success
Intel co-CEOs say they remain invested in Foundry, not writing off separation
Intel co-CEOs Michelle Johnston Holthaus and David Zinsner didn't hold back when saying their company has a lot of work to do. Read more here.seekingalpha.com
Intel (INTC) also announced during the event that Holthaus' role as Product CEO is permanent.
I read that and I don't like it it is going in Drain cause she doesn't have the Technical Expertise required she is a good PR from the entire conversationDid no one, including the press, read???
Nobody cares what kind of roles they're pretending to give, once they removed a CEO from one day to another and replaced him with 2 people.Did no one, including the press, read???
On the positive side, it makes her responsible for the "product" so she's gonna have to work hard to not get the blame for bad financial performance of CPUs/GPUs and other stuff in consumer and enterprise sector. Maybe this is Intel board admitting that the product side was left unattended by Pat due to his fab mania.I read that and I don't like it it is going in Drain cause she doesn't have the Technical Expertise required she is a good PR from the entire conversation
LOL, after this the whole board should be fired summarily - by the investors who have the right to know what they are trying to achieve well in advance."We are more likely to tell you things after they are materializing rather than tell you what we are hoping to achieve in the future," he added. "This is why the board chose us to lead."
Yeah, but we would not know about that until "after things are materializing".It seems like it's all riding on 18a now. If it meets some arbitrary, poorly-defined metric indicating success, they won't spin off the foundries.
She will be talking the blame/reward for her previous CEOs Plans 🫠🫠On the positive side, it makes her responsible for the "product" so she's gonna have to work hard to not get the blame for bad financial performance of CPUs/GPUs and other stuff in consumer and enterprise sector. Maybe this is Intel board admitting that the product side was left unattended by Pat due to his fab mania.
Yeah, might rather be Kitty LakeEveryone take cover!
Panther (Lake) is coming!