Oh no, I understand Apple isn’t switching to AMD but it is switching away from Intel.
Trouncing on value/performance/power consumption according to seemingly every video I watch on Linus Tech Tips. Again, I only follow it loosely - my critcism is more about them spending a stupendous amount on share buybacks.
Although there’s a lot of news about workstation/mobile I think Milan is going to be the real test for Intel. Data centre has offered the best margins and until recently has been almost completely uncontested. Now Intel has to fend off both ARM and AMD’s Milan in the data centre space which looks like a pretty scary challenge.
Long term I think Intel will come back, they can weather this (if only because there just isn’t enough capacity elsewhere) but I’m not buying in yet until the next few blows land.
Seems like there’s not much interest in Intel around these parts. But following pressure from activist investor Dan Loeb, Intel have replaced their CEO with former Intel CTO Pat Gelsinger.
They need to get the manufacturing sorted. INTC ended 2020 lower despite everyone buying laptops and working from home. For the first time ever, my laptop has zero Intel inside. The most interesting chips are coming out of Apple right now.
Intel in the press today talking about 7nm lithography. Wonder if it’s true, or smoke and mirrors (again).
If it’s true, might be a comeback. However their shareprice is still, even now, healthier than than it deserves to be.
Is it a good time to buy this share?
I don’t think so. They’re steadily losing ground to AMD and their fabrication processes won’t be fully modernized until 2025 according to their press release.
One thing that might change their future is that they’re going to produce chips for Qualcomm. That would give them experience in manufacturing ARM processors which could be a cornerstone for them to develop their own ARM-based processor to supply to laptop and mobile manufacturers. That’s all speculation, though.
I am an Intel shareholder, but I won’t likely purchase any more until things are a bit more optimistic in outlook. I’ve seen what’s happened to behemoths like IBM and Nokia when they sit on their laurels…
The Qualcomm thing was a bit overstated, someone asked about it during Qualcomm’s earnings call and they haven’t signed anything it’s more just a statement of interest at this point (which makes sense I’m sure they’d love another option outside of the duopoly)
We are evaluating their technology. We don’t yet have a specific product plan at this point, but we’re pretty excited about Intel entering the space.
Bear in mind that Intel won’t be able to gain from IFS customer’s IP, that would kill the foundry. So I don’t see how it can help with their internal products, but it would still be a massive boost for IFS to get such an important customer onboard.
2025 is going to be a big year for Intel though, if they are the first to get some EXE:5000s (ASML’s next gen EUV tools) they could be competitive on the fab side. That’s when they should finally catch up to Samsung/TSMC on GAAFET transistors and maybe hit a similar density.
2025 is also about when the design side might catch up with AMD, Diamond Rapids looks like their first shot at datacentre competition.
Still the stock is too expensive for me to buy it based on what might happen in 4 years time, but if the price does come down enough I’m happy to take that chance.
Thanks for that, there’s some great info in there!
The problem I have with a company saying they’ll “catch up” in 2025 is that they can’t hope to predict where their competitors will be at that time. They may have an idea based on future roadmaps but it’s quite worrying to hear.
I read on the FT app description that Intel provide the hardware to Apple but it seems it may not anymore. Do you know if they do or should they change the description?
Apple’s M1 chip has been out a while now
Apple’s walled garden and the rise of AMD seem to have impacted on Intel which hasn’t sky rocketed like other tech companies.
That’s what I thought so was surprised FT advertise the Intel stock as Apple suppliers. This is a problem with how they label some stocks as they will be out of date quickly and they need to keep it up to date or not link to other companies/investors etc.
The description is not technically incorrect, you can still buy Intel Macs now. Apple expressed their intent and showed the superiority of their M1 chip for mobile but a lot of their product line is still Intel-based for now. Freetrade should probably update it before Apple completely moves away from Intel though.
Yeah a quick look shows that there are lots of examples like that or other transitory descriptions that allude to the market cap of the company etc…
I think the friendly/light-hearted FT-curated descriptions are good and relating to companies that people will have heard of is probably worth the ongoing overhead of maintaining them (vs pulling a generic description from an API). That said as FT expands internationally the effort to maintain descriptions grows at O(n²) as you have to maintain descriptions for every new country’s stocks in all new languages so some future proofing would help.
Yep they certainly are but MUST be up to date or people may buy with false information. I was contemplating Intel as I thought the stock was low and if they are Apple suppliers then it is worth it long term. I then did some research and was a bit surprised they may not be a good long term bet 
At least for the Apple bit.
Intel is the largest manufacturer of semiconductor microchips in the world. I think they will do just fine. They have dominated the field for years but need a bit of fresh blood and innovation 
You say that but @Louis had a good point about IBM and Nokia 
I’m not predicting either way but personally I think there are better bets in the field. but that’s just for my portfolio. 
Side point, I’d personally discourage clicking on a reddit link for stock information in all circumstances. But each to their own.
Main point, the reaction to the Q3 earnings figures could be a good time to look again at Intel. When a monopoly is in the process of becoming a duopoly there isn’t really a lot you can do in terms of growth, and mistakes have most certainly been made, hence the terrible growth compared to AMD in recent years. But Intel still hold a 60% share of the CPU market even with supply issues. For context, 10 years ago it was 72%, a significant fall but not necessarily the four horsemen of the apocalypse.
They’re also starting to head into the GPU market in 2022 where Nvidia just wipe the floor at the moment, with the resources to potentially make an impact.