Intel’s Unleashes a Turnaround

Yesterday, Intel announced a series of efforts that may one day be looked back at as foundational for their turnaround. Despite Intel being in a strong market position in many of the areas they compete in, the leadership zeal Intel once brought to the technology industry had been waning, and when it came to looking for points of innovation in computing, Intel is not the first company to come to mind.

In many ways, Intel is in a position very similar to Microsoft before Satya Nadella took over. Microsoft, like Intel, remained dominant in many markets. But the issue was a staleness surrounding the company that was leading to fading relevance as an industry and category leader and technology innovator. Nearly overnight, Satya Nadella brought renewed vigor to Microsoft, and Pat Gelsinger appears to be having the same impact on Intel. With the right leader, no company can ever be ruled out. Microsoft proved this, and Intel may very well prove this with Pat Gelsinger at the helm.

Intel’s Renewed Foundry Efforts
One of the main announcements is Intel’s renewed efforts at being a competitive foundry making semiconductors for companies other than Intel. Some may remember, Intel has tried this before, but those efforts failed for a variety of reasons. The main one being the priority for Intel was always their own products and not others. So what has changed this time around?

The first is a very different market than when Intel first attempted being a foundry. There has never been more demand for semiconductors than right now, and that demand will remain and grow stronger for years to come. Amidst significant semiconductor demand, leading to chip shortages for every segment, Intel remains one of the only semiconductor manufacturers with the capacity to offer immediately.

Another significant difference is Pat Gelsinger is a different leader, with different ambitions and goals than those who led Intel’s previous foundry efforts. Intel Foundry Services is a stand-alone business unit, which reports directly to Pat Gelsinger. Intel Foundry Services will have its own PNL, revenue goals, and growth targets. This is a much different model than what Intel had set up in their prior foundry efforts.

Lastly, Intel Foundry Services will have one of the more robust I.P. portfolios for foundry customers. This statement from the press release is succinct “IFS will be differentiated from other foundry offerings with a combination of leading-edge process technology and packaging, committed capacity in the U.S. and Europe, and a world-class I.P. portfolio for customers, including x86 cores as well as ARM and RISC-V ecosystem I.P.s.” Two things about this are unique to Intel foundry customers.

The first one being x86 cores, which assume some x86 I.P. At the moment, AMD is the only other company offering a cooperative effort to build custom x86 products for customers in their semi-custom business. While it is unclear how deep down the customization efforts would extent for Intel x86 I.P., but it will be extremely interesting to see how foundry customers take advantage of x86 I.P.

The other element of interest to me is Intel’s packaging technology, particularly their 3D packaging technology, which is quite innovative and unique. Foundry customers can take advantage of this unique technology which could turn out to be a significant differentiator for Intel Foundries, as well as Intel’s own products going forward.

While there is no slam dunk for Intel Foundry Services, I remain conservatively optimistic about their efforts. As I’ve outlined before, Intel being competitive as a foundry is extremely important for U.S. technology companies, so I personally believe it is in the best interests of many that Intel succeeds in this area.

Catching up in Process Technology
A fundamental part of Intel’s turnaround efforts is to close the gap between their foundries and TSMC and Samsung in process nodes. Intel will roll quickly past 10nm, something they should have done years ago, and look on track to deliver 7nm in a timely fashion and then quickly move to 5nm on a regular cadence going forward. Part of the reason I have more confidence Intel can do make these process node advancements going forward is due to their embracing of EUV and their less aggressive density targets. Both of these recipes are what TSMC has used to remain a steady cadence, and there is no reason to believe Intel can’t do the same.

Assuming Intel can close the gap, even if not catch up, there is reason to believe they will remain extremely competitive even if they are not making products on the same nodes as TSMC and Samsung. A lot of that has to do with Intel’s packaging technology which Gelsinger argues is the best packaging technology in the world, and there is some truth to this claim.

Intel is not actually as far off as its competition when it comes to performance. They are a bit farther when it comes to performance-per-watt but not in sheer performance. This is a testament to their architecture, and as we will see with future competitive products is a testament to their packaging and transistor design.

Getting to the point of at least some parity on process technology is essential for both Intel’s own products manufactured by Intel and customers of Intel Foundry Services. The next few years will be critical at an execution level for Intel to deliver on this front and for us to gauge their success at meeting regular cadence schedules.

I’ve always been curious to see what it would look like for other companies to collaborate with Intel to have their architecture designs run on Intel’s advanced packaging technologies. Hopefully, soon we may finally see if Intel process and package technology is truly that differentiated. I’d also love to see what Intel packaging technology looks like designed on Arm (hint Apple).

Outsourcing Intel Chips
As interested as I’ve been to see what other semiconductor companies can do with Intel’s packaging technology, I’m also quite interested to see what Intel architecture looks like running on other company’s process technology. We have been watching to see if Intel would outsource its CPU designs on a different process, and it looks like we may see that reality.

As a part of Intel’s announcements, it became clear that they would now start outsourcing some CPU designs to TSMC and possibly Samsung in the future. While this may be a trial run at first, I’m extremely interested to see how Intel CPU designs perform on a leading-edge TSMC process. Again, this will bring quite a bit of clarity to the quality of Intel’s architecture and potentially their process as well.

The other area of intrigue this creates is the competitive dynamic between Intel Foundry Services and other foundries. If Intel (who is Intel Foundry Services’ largest customer) sees significant benefits from their products made at TSMC, then it creates a competitive dynamic that did not exist before. Intel should be building its products on the best technologies, and if that becomes clear it is not Intel Foundry Services, then IFS will be truly competing for Intel’s business. A fascinating storyline to watch develop.

What is also new to this equation, and one that will be interesting to watch is the dynamic of Intel now competing with any outside foundry they make their products with. Intel may be partnering with TSMC, but they will also be trying to compete with them, directly, with Intel Foundry Services. This, in my opinion, is the most awkward part of the overall new structure and announcement. We will watch this new dynamic closely.

Overall: I am significantly more bullish on Intel now than I was a year ago. Pat Gelsinger is the right guy at the right time, and as I mentioned with the observation on Microsoft, sometimes all it takes is the right leader. These announcements are a huge step in the right direction, but as Gelsinger continued to emphasize during his presentation, it will all boil down to execution. That being said, now more than any time in the last decade, I’m more optimistic Intel can execute going forward.

Published by

Ben Bajarin

Ben Bajarin is a Principal Analyst and the head of primary research at Creative Strategies, Inc - An industry analysis, market intelligence and research firm located in Silicon Valley. His primary focus is consumer technology and market trend research and he is responsible for studying over 30 countries. Full Bio

198 thoughts on “Intel’s Unleashes a Turnaround”

  1. 4d Lotto – Join lotto 4d and bet 4d online with ease! We offer all popular 4D betting in Malaysia such as 9 Lotto, Sports Toto, Magnum, Damacai, GD Lotto, STC4D, Sabah88, Sarawak Cash Sweep betting online anywhere anytime. Buy 4d online Now!

  2. В заключении можно отметить, что приемник ЛИРА РП-248-1 является надежным и универсальным прибором, который может быть

  3. I’m not sure why but this site is loading very slow for me. Is anyone else having this issue or is it a problem on my end? I’ll check back later on and see if the problem still exists.

  4. I was very pleased to find this web-site.I wanted to thanks for your time for this wonderful read!! I definitely enjoying every little bit of it and I have you bookmarked to check out new stuff you blog post.

  5. Very great post. I just stumbled upon your weblog and wished to mention that I’ve truly enjoyed browsing your weblog posts. In any case I will be subscribing to your feed and I hope you write once more very soon!

  6. Greetings from Florida! I’m bored at work so I decided to browse your site on my iphone during lunch break. I enjoy the information you present here and can’t wait to take a look when I get home. I’m shocked at how quick your blog loaded on my mobile .. I’m not even using WIFI, just 3G .. Anyhow, very good blog!

  7. You can definitely see your expertise in the work you write. The world hopes for more passionate writers like you who are not afraid to say how they believe. Always go after your heart.

  8. I am really impressed along with your writing abilities as well as with the layout for your weblog. Is this a paid subject matter or did you customize it your self? Either way stay up the nice quality writing, it’s rare to see a great weblog like this one nowadays..

  9. What’s Going down i’m new to this, I stumbled upon this I have found It absolutely helpful and it has helped me out loads. I am hoping to give a contribution & aid different customers like its aided me. Great job.

  10. It¦s really a great and helpful piece of information. I¦m satisfied that you simply shared this helpful information with us. Please stay us informed like this. Thank you for sharing.

  11. After examine a number of of the weblog posts on your website now, and I truly like your approach of blogging. I bookmarked it to my bookmark web site list and will be checking back soon. Pls take a look at my site as well and let me know what you think.

  12. Hi , I do believe this is an excellent blog. I stumbled upon it on Yahoo , i will come back once again. Money and freedom is the best way to change, may you be rich and help other people.

  13. Hello! I could have sworn I’ve been to this blog before but after browsing through some of the post I realized it’s new to me. Anyways, I’m definitely happy I found it and I’ll be book-marking and checking back frequently!

  14. Excellent blog here! Also your site loads up very fast! What web host are you using? Can I get your affiliate link to your host? I wish my website loaded up as fast as yours lol

  15. Nice post. I learn one thing more difficult on completely different blogs everyday. It’ll at all times be stimulating to learn content from other writers and observe slightly one thing from their store. I’d prefer to make use of some with the content material on my blog whether you don’t mind. Natually I’ll give you a hyperlink on your web blog. Thanks for sharing.

  16. Together with every thing that seems to be building throughout this specific area, your opinions are fairly stimulating. Nevertheless, I appologize, because I can not subscribe to your whole strategy, all be it refreshing none the less. It would seem to everybody that your remarks are generally not entirely justified and in reality you are yourself not wholly confident of your point. In any event I did enjoy examining it.

  17. Howdy! This is my 1st comment here so I just wanted to give a quick shout out and tell you I genuinely enjoy reading your posts. Can you suggest any other blogs/websites/forums that cover the same topics? Appreciate it!

  18. Hi there this is kinda of off topic but I was wondering if blogs use WYSIWYG editors or if you have to manually code with HTML. I’m starting a blog soon but have no coding know-how so I wanted to get advice from someone with experience. Any help would be greatly appreciated!

  19. Good V I should definitely pronounce, impressed with your web site. I had no trouble navigating through all tabs and related information ended up being truly simple to do to access. I recently found what I hoped for before you know it at all. Quite unusual. Is likely to appreciate it for those who add forums or anything, site theme . a tones way for your client to communicate. Excellent task..

  20. I like the helpful information you provide in your articles. I will bookmark your weblog and check again here regularly. I’m quite certain I will learn many new stuff right here! Best of luck for the next!

  21. hello there and thank you to your information – I have definitely picked up something new from proper here. I did on the other hand expertise several technical issues the usage of this website, since I experienced to reload the website many instances previous to I could get it to load correctly. I were brooding about in case your hosting is OK? Now not that I’m complaining, however sluggish loading cases times will very frequently impact your placement in google and could harm your high quality ranking if ads and ***********|advertising|advertising|advertising and *********** with Adwords. Anyway I’m adding this RSS to my email and could look out for much more of your respective exciting content. Ensure that you update this again soon..

  22. В этой статье мы расскажем вам о 1xBet промокодах и как они могут помочь вам получить бонусы и дополнительные средства для ставок. Мы приглашаем вас ознакомиться с промокодами и бонусами в букмекерской компании 1хБет. Вы узнаете про все актуальные промо акции предлагаемые букмекером, а также правильное использование этих промокодов и бонус кодов для получения максимальной выгоды.

  23. Today, I went to the beach with my kids. I found a sea shell and gave it to my 4 year old daughter and said “You can hear the ocean if you put this to your ear.” She placed the shell to her ear and screamed. There was a hermit crab inside and it pinched her ear. She never wants to go back! LoL I know this is completely off topic but I had to tell someone!

  24. What’s Taking place i’m new to this, I stumbled upon this I’ve found It absolutely useful and it has helped me out loads. I’m hoping to give a contribution & aid other customers like its helped me. Great job.

  25. You could certainly see your enthusiasm in the paintings you write. The world hopes for even more passionate writers like you who aren’t afraid to mention how they believe. At all times follow your heart. “Until you walk a mile in another man’s moccasins you can’t imagine the smell.” by Robert Byrne.

  26. An fascinating discussion is worth comment. I feel that it’s best to write more on this matter, it won’t be a taboo subject but typically persons are not sufficient to speak on such topics. To the next. Cheers

  27. Good post and right to the point. I am not sure if this is really the best place to ask but do you people have any ideea where to hire some professional writers? Thanks 🙂

  28. certainly like your web-site however you need to test the spelling on quite a few of your posts. Many of them are rife with spelling issues and I in finding it very troublesome to tell the truth however I will definitely come again again.

  29. I’m extremely impressed along with your writing skills as smartly as with the structure in your weblog. Is that this a paid topic or did you modify it yourself? Either way keep up the nice high quality writing, it’s rare to see a nice blog like this one these days..

  30. Very good website you have here but I was curious if you knew of any community forums that cover the same topics discussed here? I’d really like to be a part of online community where I can get advice from other experienced individuals that share the same interest. If you have any recommendations, please let me know. Appreciate it!

  31. I have not checked in here for a while as I thought it was getting boring, but the last several posts are good quality so I guess I’ll add you back to my everyday bloglist. You deserve it my friend 🙂

  32. Magnificent beat ! I wish to apprentice while you amend your site, how can i subscribe for a weblog site? The account aided me a appropriate deal. I have been tiny bit familiar of this your broadcast offered brilliant clear concept

  33. Hiya, I’m really glad I have found this info. Today bloggers publish just about gossips and net and this is really irritating. A good site with exciting content, that’s what I need. Thanks for keeping this web-site, I’ll be visiting it. Do you do newsletters? Cant find it.

  34. I’m curious to find out what blog system you happen to be utilizing? I’m having some small security issues with my latest site and I would like to find something more safe. Do you have any suggestions?

  35. Awesome news! Exciting to see Intel making strategic moves under Pat Gelsinger. The focus on Foundry Services with cutting-edge tech and packaging innovation is a game-changer. Here’s to a successful turnaround!

  36. Абузоустойчивый VPS
    Виртуальные серверы VPS/VDS: Путь к Успешному Бизнесу

    В мире современных технологий и онлайн-бизнеса важно иметь надежную инфраструктуру для развития проектов и обеспечения безопасности данных. В этой статье мы рассмотрим, почему виртуальные серверы VPS/VDS, предлагаемые по стартовой цене всего 13 рублей, являются ключом к успеху в современном бизнесе

  37. The other day, while I was at work, my sister stole my apple ipad and tested to see if it can survive a 25 foot drop, just so she can be a youtube sensation. My apple ipad is now broken and she has 83 views. I know this is completely off topic but I had to share it with someone!

  38. I would like to thnkx for the efforts you’ve put in writing this web site. I am hoping the same high-grade website post from you in the upcoming as well. In fact your creative writing abilities has inspired me to get my own web site now. Really the blogging is spreading its wings quickly. Your write up is a good example of it.

  39. I wish to show some appreciation to you for rescuing me from such a incident. Because of exploring throughout the the net and coming across opinions which were not powerful, I thought my entire life was well over. Being alive without the presence of approaches to the problems you’ve fixed by way of your entire site is a critical case, as well as the ones which might have in a negative way damaged my career if I had not come across the blog. Your ability and kindness in controlling a lot of things was vital. I don’t know what I would’ve done if I hadn’t encountered such a point like this. It’s possible to at this time relish my future. Thanks a lot so much for the high quality and amazing guide. I won’t be reluctant to endorse the sites to any individual who will need guidance on this area.

  40. I know this if off topic but I’m looking into starting my
    own weblog and was wondering what all is needed to get set up?
    I’m assuming having a blog like yours would cost a pretty penny?
    I’m not very internet savvy so I’m not 100% sure. Any recommendations
    or advice would be greatly appreciated. Cheers

  41. VPS SERVER
    Высокоскоростной доступ в Интернет: до 1000 Мбит/с
    Скорость подключения к Интернету — еще один важный фактор для успеха вашего проекта. Наши VPS/VDS-серверы, адаптированные как под Windows, так и под Linux, обеспечивают доступ в Интернет со скоростью до 1000 Мбит/с, что гарантирует быструю загрузку веб-страниц и высокую производительность онлайн-приложений на обеих операционных системах.

  42. I’m not that much of a online reader to be honest but your sites really nice, keep it up!
    I’ll go ahead and bookmark your website to come back later
    on. Cheers

  43. https://medium.com/@DanteStuar9109/виртуальный-сервер-vps-на-ubuntu-linux-46b6fad1067a
    VPS SERVER
    Высокоскоростной доступ в Интернет: до 1000 Мбит/с
    Скорость подключения к Интернету — еще один важный фактор для успеха вашего проекта. Наши VPS/VDS-серверы, адаптированные как под Windows, так и под Linux, обеспечивают доступ в Интернет со скоростью до 1000 Мбит/с, что гарантирует быструю загрузку веб-страниц и высокую производительность онлайн-приложений на обеих операционных системах.

  44. Hello my friend! I want to say that this article is amazing, great written and come with approximately all vital infos. I would like to peer more posts like this .

  45. Attractive section of content. I just stumbled upon your weblog and in accession capital to assert that I get in fact enjoyed account your blog posts. Anyway I’ll be subscribing to your augment and even I achievement you access consistently fast.

  46. Wow, Intel’s pivot into competitive foundry work is a game-changer! Reminds me of Microsoft’s turnaround. Pat Gelsinger might just lead them to the top again. #TechInnovation

  47. Thanks so much for giving everyone such a superb possiblity to check tips from here. It’s usually so nice and as well , full of amusement for me and my office fellow workers to visit your website a minimum of 3 times in a week to read the newest items you will have. And indeed, we are usually impressed considering the unique advice you serve. Some 1 facts in this posting are in fact the most beneficial we have all had.

  48. of course like your website but you have to take a look at the spelling on several of your posts. Several of them are rife with spelling problems and I find it very bothersome to inform the reality on the other hand I’ll definitely come back again.

  49. I absolutely love your blog and find most of your post’s to be just what I’m looking for. can you offer guest writers to write content for yourself? I wouldn’t mind writing a post or elaborating on a few of the subjects you write with regards to here. Again, awesome blog!

  50. Thank you for another fantastic article. The place else may anyone get that type of info in such a perfect method of writing? I have a presentation next week, and I am on the search for such information.

  51. One more thing to say is that an online business administration training course is designed for learners to be able to smoothly proceed to bachelor’s degree programs. The Ninety credit education meets the lower bachelor diploma requirements so when you earn the associate of arts in BA online, you will get access to the newest technologies on this field. Several reasons why students want to get their associate degree in business is because they’re interested in the field and want to find the general schooling necessary in advance of jumping into a bachelor education program. Thanks for the tips you provide as part of your blog.

  52. Thanks for another informative blog. Where else could I get that kind of info written in such an ideal way? I have a project that I’m just now working on, and I have been on the look out for such info.

  53. Nice weblog here! Also your web site so much up very fast! What web host are you the use of? Can I get your affiliate link on your host? I desire my website loaded up as quickly as yours lol my web page: Depi.lt

Leave a Reply

Your email address will not be published. Required fields are marked *