https://www.fool.com/investing/2017/03/31/intel-corporations-10-nanometer-disappointment.aspx
A disappointment yes, a surprise, no.
10 replies (most recent on top)
What intel makes while important is simply boring and contracting business. They missed the next big thing and now are like chicken with no head chasing the next one.
Mthe larger problem the next thing is very hard to predict and smalle companies are far better as adapting and evolving as the new big thing appears.
Very few cases of companies hitting home runs twice. Intel unlike GE, IBM, HP isn't a multi facet revenue and profit machine.
Intel is a one trick pony like Kodak, Blackberry, DEC, Cray, and we all know how those ended up.
Spin all you want about 10nm and intel leadership, but you don't sell density you sell products and intel has nothing and what is worse 10nm is a train wreck that will bankrupt the company. Can't wait to see BKs next sorry ACT
Yes, Charlie lays out a pretty dense and detailed analysis. Worth the read.
The underlying question was also asked in this thread - why does this matter anymore? The Street cares about margin, but the product appeal is what will matter most - and there doesn't seem to exist a compelling product strategy. That's what will move units.
This is basic marketing. 'Product' is one of the four 'P's, and probably the most important.
http://semiaccurate.com/2017/04/04/intels-hyperscaling-is/
Charlie has a rather negative assessment of the "news" - says it's business as usual fluffed up for the street. Also hints that yields are really bad.
Any insights as to whether his assessment correct? I thought the Intel pitch made sense until I read his stuff.
They have made lots of noise about 14+ and 14++ and have two more 14nm products on 14 to cover the failure to deliver 10nm.
Last I checked don't see anyone asking for a Kabby or waiting for a Coffee. TSMC and Samsung can't wait to ramp 10nm and 7nm as people all lined up for their next Galaxy or iPhone.
Frankly all the spin can fool wall street for a little. Today consumers don't care and that is the biggest problem. You can't build a growth business or volume required to pay for RD and 10+ billion dollar fabs on fancy spin, you need compelling products and Intel has none.
Server and shrinking client guranteee Intel irrelevance. In 2019 it will be all about Samsung and TSMC as they have a real strategy that is working and will pass Intel by. There three stooges of CRB,PSO and lastly BK have put Intel on way to ruin 😉😂
More ACTs BK more ACTs to prop up the stock price 😂🤣😂🤣😂🤣
Release 14nm as 10nm, great idea. BK should award you an IAA.
They should just do the same as TSMC - release 14nm processors and refer to the process as 10nm.
I don't anyone who would be happy with a 10 nanomete.
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@MDf1wtm-vbj Ashraf was a big lover of intel, he is only calling things as he can see it. Someday I need to have coffee with him and tell him how it really works, then Hsu insight will be even better 😉
Ashraf is really a nice guy - he skewers Intel like he was telling a friend that he dresses like a middle-schooler (hello GRP).
But fer chrissakes, 2019?
So you design a process that yields less than the current one, is significantly longer, costs more and will be less responsive to the market as a result, and doesn't match the current process' performance for like 2 years and two iterations after launch? Sounds like a winner, customers and shareholders will be thrilled.