DIRS.INFO The most relevant business & tech news

☆ Intel, once a Silicon Valley star, has been floundering. Now it's mounting a turnaround.
▼ + stars: | 2024-09-17 | by ( Hasan Chowdhury | ) www.businessinsider.com time to read: +6 min

During his tenure as CEO, Grove transformed the chip company into a giant of Silicon Valley that, during the 1990s, was as important to the PC market as Microsoft. Pat Gelsinger, who has led Intel as CEO since 2021, has enacted a sweeping set of new initiatives to turn the chip company around. Its Gaudi 3 AI chip, unveiled as a rival to offerings from Nvidia and AMD, is expected to generate just $500 million in sales this year. Meanwhile, Alvin Nguyen, senior analyst at Forrester, told Business Insider that this is a big public win for Intel. Gelsinger's second headline announcement was that the company is establishing Intel Foundry as a separate subsidiary within Intel, with its own new operating board and independent directors.

Persons: —, Andrew Grove, he'd, Grove, Grove —, Pat Gelsinger, Gordon Moore, Gelsinger, HWA CHENG, Patrick Moorhead, Moorhead, Alvin Nguyen, Forrester, Gelsinger's, It's, Forrester's Nguyen, Bernstein Organizations: Service, Microsoft, Intel, Business, Nvidia, Gaudi, AMD, Revenue, HWA, Getty, Amazon Web Services, Intel Foundry, Reuters Locations: Silicon, Japan, Moore's, AFP, Poland, Germany, Arizona , Oregon, New Mexico, Ohio

Intel CEO Pat Gelsinger holds a sample of a wafer during his keynote speech at the Computex conference in Taipei on June 4, 2024. Intel shares jumped 8% in extended trading Monday after the company said it plans to turn its foundry business into an independent unit with its own board and the potential to raise outside capital. Gelsinger said the restructuring would allow the foundry business to "evaluate independent sources of funding," and comes days after Intel's board met to assess the direction and future of the company. The foundry business, which Intel plans to use to manufacture chips for other customers, has been a big drag on its bottom line, with the company spending roughly $25 billion on it in each of the last two years. With a standalone "operating board" and a cleaner corporate structure, the mechanics of a separation become far easier than trying to turn a fully integrated unit into a separate company.

Persons: Pat Gelsinger, Pat Gelsinger's, Gelsinger Organizations: Intel, Nvidia Locations: Taipei, Altera

☆ Intel has hired Morgan Stanley, other advisers for activist defense
▼ + stars: | 2024-08-23 | by ( Rohan Goswami | In Rohangoswamicnbc | ) www.cnbc.com time to read: +2 min

Intel is working with advisors including Morgan Stanley to help defend itself against activist investors, according to people familiar with the matter, as CEO Pat Gelsinger attempts to turn around the struggling chipmaker. While Intel has faced activist pressure in the past, no new campaign has been formally launched and it isn't clear if an activist investor has been in contact with the company's board. Morgan Stanley has previously worked with Intel, including in the company's 2022 spinoff of Mobileye . The sources with knowledge of Morgan Stanley's latest involvement asked not to be named due to confidentiality. Representatives for Intel and Morgan Stanley declined to comment.

Persons: Morgan Stanley, Pat Gelsinger, Morgan Stanley's, it's, Dan Loeb's, Frank Yeary, Camberview, Tan, — CNBC's Alex Sherman, Kif Leswing Organizations: Intel, Nvidia, Devices, Broadcom, Qualcomm, Texas, Wall

A smartphone with a displayed Intel logo is placed on a computer motherboard in this illustration taken March 6, 2023. Programmable chips sit between Intel's general purpose chips and chips that are designed for a single task and used in everything from encrypting data to 5G wireless telecommunications equipment. Intel said Sandra Rivera, an Intel veteran, will oversee the new unit, which will keep using Intel's factory to make its chips. Programmable chips are used in defense applications such as fighter jets. The deal follows Intel's earlier moves to sell its memory chip unit to SK Hynix and take public part of its Mobileye self-driving car chip unit.

Persons: Dado Ruvic, Sandra Rivera, Rivera, Pat Gelsinger's, Michael Ashley Schulman, Stephen Nellis, Samrhitha, Shilpi Majumdar, David Gregorio 私たち Organizations: REUTERS, Intel, Nvidia, Devices, SK Hynix, Taiwan Semiconductor Manufacturing, Running, Capital Advisors Locations: Taiwan, North America, San Francisco, Bengaluru

☆ Here's why this AI chipmaker continues to outflank the competition
▼ + stars: | 2023-07-28 | by ( Kevin Stankiewicz | In Kevinstankiewicz | ) www.cnbc.com time to read: +6 min

"But when we go to an AI server, Intel's contribution drops to low-single digit percent, and that's where Nvidia's contribution gets to almost 60%, 70% of the price of the server." Still, it's possible AMD also saw softer demand for its data-center CPUs in the last quarter due to ramped-up AI spending. Like Intel, AMD is also working to bring its own AI-focused chips to market . Yes, Nvidia stock has had a monster run, more than tripling year-to-date, but the fundamental reason for that outperformance — its AI dominance — is completely intact. It remains an "own it, don't trade" stock, alongside Apple (AAPL).

Persons: Pat Gelsinger, —, Vivek Arya, Arya, Intel's, Lisa Su's, Gelsinger, AMD's, Jim Cramer's, Jim Cramer, Jim, Hsun Huang, Patrick T Organizations: Intel, Nvidia, Club, — Club, Microsoft, CNBC, Bank of America, Devices, AMD, Apple, Nvidia Corp, Mobile, Fallon, Bloomberg, Getty Locations: China, Los Angeles , California, U.S

☆ Intel, Ericsson to work together on custom 5G chip
▼ + stars: | 2023-07-25 | by ( Stephen Nellis | ) www.reuters.com time to read: +1 min

July 25 (Reuters) - Intel Corp (INTC.O) on Tuesday said that it will work with Swedish telecommunications gear maker Ericsson (ERICb.ST) to make a custom chip for Ericsson's 5G networking gear, using the most advanced manufacturing technology Intel has disclosed. Intel has lost its lead in manufacturing the smallest and most power-efficient semiconductors to rivals such as Taiwan Semiconductor Manufacturing Co (2330.TW). A key piece of Intel Chief Executive Pat Gelsinger's plan announced in 2021 to regain that lead and turn the company around has been to pack five generations of chip manufacturing advances into four years. Intel said that the new Ericsson chip will use Intel's "18A" manufacturing technology and is among the first chips from outside customers that Intel has will use the technology. Intel and Ericsson did not provide details on when the chip will hit the market, but Intel has previously said that its 18A manufacturing technology will be ready by 2025.

Persons: Pat Gelsinger's, Stephen Nellis, Nick Zieminski Organizations: Intel Corp, Ericsson, Intel, Taiwan Semiconductor Manufacturing, San, Thomson Locations: Swedish, San Francisco

☆ Intel climbs as Wall St cheers early signs of recovery
▼ + stars: | 2023-04-28 | by ( ) www.reuters.com time to read: +2 min

TD Cowen analysts said the company "was not out of the woods yet but this was a starting point." Intel's market capitalization is set to rise by nearly $8 billion to more than $130 billion, if premarket gains hold. "We see gross margin pressured for the foreseeable future reflecting aggressive process and new product spend as well as IFS (Intel Foundry Services) investment," Oppenheimer said. Intel posted its biggest quarterly loss in the first quarter as it ramped up production and investments in manufacturing plants. Reporting by Eva Mathews and Aditya Soni in Bengaluru; Editing by Sriraj KalluvilaOur Standards: The Thomson Reuters Trust Principles.

☆ Intel reports largest quarterly loss in company history
▼ + stars: | 2023-04-27 | by ( Kif Leswing | ) www.cnbc.com time to read: +4 min

It's also Intel's largest quarterly loss of all time, beating out the fourth quarter of 2017, when it lost $687 million. In the first quarter, Intel swung to a net loss of $2.8 billion, or 66 cents per share, from a net profit of $8.1 billion, or $1.98 per share, last year . For the second quarter, Intel expects to lose 4 cents per share on revenue of $12 billion. Still, the loss per share and sales were slightly better than soft Wall Street expectations. In the meantime, a business that used to print money is struggling, especially in PC chips, which used to be the company's strongest product line.

☆ Earnings playbook: Your guide to a busy week of earnings, featuring Meta and Amazon
▼ + stars: | 2023-04-24 | by ( Fred Imbert | ) www.cnbc.com time to read: +13 min

What history shows: GM has reported a better-than-expected bottom line in 29 of the last 30 quarters, per FactSet. McDonald's is set to report earnings in the premarket, with management slated to hold a call at 8:30 a.m. What history shows: History shows Google's parent company beats earnings expectations 68% of the time, with the stock averaging a gain of 1.6% on earnings day, per Bespoke. Meta Platforms is set to report earnings after market close, followed by a conference call at 5 p.m. What history shows: Bespoke data shows Intel beats earnings expectations 77% of the time.

☆ Intel executives take pay cuts after disastrous earnings
▼ + stars: | 2023-02-01 | by ( Rohan Goswami | ) www.cnbc.com time to read: +2 min

Intel executives will take significant, staggered base-pay cuts just days after the chipmaker reported abysmal fourth-quarter earnings, the company said Wednesday. The cuts will impact executives ranging from CEO Pat Gelsinger to mid-level managers. Gelsinger's pay cut would be a little over $312,000. Intel's pay cuts will also impact executives further down the line. Lower-level employees would not be affected by pay cuts, the company told The Wall Street Journal.

☆ Intel's horrible quarter revealed an inventory glut and underused factories
▼ + stars: | 2023-01-26 | by ( Kif Leswing | ) www.cnbc.com time to read: +3 min

Intel guided for about $11 billion in sales in the March quarter, which would be a 40% year-over-year decline. Gross margin will be 34.1%, a huge decrease from the 55.2% in the same quarter in 2021, Gelsinger's first at the helm. Dropoff in gross marginUnderpinning all of this is that Intel's gross margin continues to decline, hurting the company's profitability. Intel said that its gross margin would be hit by 400 basis points, or 4 percentage points, because of factories running under load because of soft demand. "We have a number of initiatives under way to improve gross margins and we're well under way.

Search resuls for: "Gelsinger's"

11 mentions found