2 wk. ago • 100%

Intel's CEO is reportedly set to present cost-cutting plan to the board and may 'slice off unnecessary businesses'. Ouch

www.pcgamer.com Intel's CEO is reportedly set to present cost-cutting plan to the board and may 'slice off unnecessary businesses'. Ouch

An action plan seems imminent for the beleaguered chip giant.

18 comments

Goodbye GPU

35
- This is probably true and will be the death-nell of Intel.
  
  GPU/FPU has been driving the success of the companies eating Intel's lunch. If Intel stops on this front, they're Texas Instruments all over again.
  
  25
- I'm hoping Intel keeps their GPU division as they basically get free driver development support from the community but yeah, there's a good chance this is getting axed
  
  19
- I'm guessing it's the Wifi business that's going to be sold. Also, the prefabs might be spun off. But Intel still needs a GPU division, if at the very least just for integrated GPUs, but we might see the end of dedicated Intel GPU's as they pivot to compete against AMD's APU's.
  
  That's my take, at least.
  
  9
- Came here to say the same thing lol
  
  4
Cool, if they're cutting stuff out and selling factories, their days are numbered. Good riddance. That's what you get for selling everyone the same fucking cpu from about 2010-2020, only bothering to change the pin counts just to sell more motherboards.

16
There goes their division of fine aged meats

15
- Here’s the problem, I am not quite sure if they do or do not have a division of fine aged meats. Like if this was P&G, yeah they most definitely have a Div Fine Aged Meats, but Intel, I would have to look that up. And the fact that I would have to look that up to be certain that Intel doesn’t have a DFAM, well that’s just scary.
  
  3
So no more executives and middle managers? Sounds like a good plan

13
- Best we can do is no raises and chopping operation expenses by half.
  
  3
As much as I currently prefer AMD processors over Intel I would hate to see them go. Without serious competition AMD will just do the exact same thing Intel did before Ryzen dropped. The problem I see now is that if Intel gets into a situation as horrible as AMD was in there are not as many revolutionary concepts out there anymore that would get them out of that hole.

11
- Do you think arm cpu manufacturers like Apple, Samsung, qualcomm are now in a position to act as competition for amd?
  
  1
  
  Difficult to say, Arm is a bit weird when you compare it to x64 CPU's because it does not have comlex instructions (by design) which means that for low intensity and 'simple' workloads an Arm CPU will be vastly more power efficient. However the more complicated the workload gets the more x64 has an advantage due to specialized instructions.
  
  So for most users yes Arm will start being very competetive since the #1 metric there is battery life. However for datacenter, workstation and gaming usage Arm just cannot compete and very likely never will.
  
  2
They fucked around and found out. Whatever their cost cutting is will now make or break the company. If it's GPUs, they will commit to clawing at their CPU share. If it's CPUs (which sounds like the wildest plan), Nvidia might finally have to stop fucking around.

We'll see, but it's a very important decision and it will take them years to catch up to whatever they are committing to

11
This article doesn't go into it, but Louis Rossmann pointed out that their profit margin has tanked recently.

https://odysee.com/how-intel's-oxidation-scandal-screws

At the end of 2021 it was 25.1% for the year.
At the end of 2022 it was 12.7%
At the end of 2023 it was 3.1%

Even ignoring the downward trend, at a margin like 3%, a small swing in the market, a small mistake in inventory ordering, or replacing a bunch of CPUs that had an oxidation issue during the manufacturing process will push them over the edge into losing money instead of making money.

https://www.youtube.com/watch?v=OVdmK1UGzGs

Not saying this to defend Intel, just pointing out a major reason as to why they are scrambling to cut down on costs.

edit: formatting

3
I know you're reading this. Fix your management... by removing half of them and the management bloat they introduced to justify their existence... or perish.

2
The Dithering podcast was talking about Intel in today's ep. They agreed that this shit needed to change both ten years ago and (further back) when modern smartphones became a thing. I worry that Intel can't right this ship.

2
Just looking around their site, it’s trash like this that needs to get the axe.

https://www.intel.com/content/www/us/en/wireless-network/5g-network/overview.html

1

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