Intel's new CEO, Lip-Bu Tan, is considering major changes to the company's contract manufacturing business, potentially halting 18A chip marketing to external clients. This move comes after Intel's net loss of $18.8 billion in 2024, its first unprofitable year since 1986. Sources indicate that scrapping 18A could result in write-offs ranging from hundreds of millions to billions. Tan aims to pivot towards 14A technology to compete more effectively with TSMC, targeting clients like Apple and Nvidia.
Intel's new CEO, Lip-Bu Tan, is considering major changes to the company's contract manufacturing business, potentially halting 18A chip marketing to external clients. This move comes after Intel's net loss of $18.8 billion in 2024, its first unprofitable year since 1986. Sources indicate that scrapping 18A could result in write-offs ranging from hundreds of millions to billions. Tan aims to pivot towards 14A technology to compete more effectively with TSMC, targeting clients like Apple and Nvidia.