![]() ![]() Intel has little interest in being a second-tier foundry or in pursuing commodity manufacturing contracts on low-cost chips, and the capital-intensive nature of its business likely precludes such a strategy in any case. It will continue to manufacture its own hardware and it will offer foundry services and license x86 core designs to companies that wish to purchase either. Instead of pivoting towards pure-play foundry partnerships and away from building its own hardware, as some activist investor firms wanted, Intel has chosen to make a play for both sides of the foundry business simultaneously. No one expects this to happen overnight, but Gelsinger has bet Chipzilla’s business model on the outcome. ![]() After six years stuck on 14nm, Intel needs to demonstrate that it can recapture process and performance leadership.
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