At a time when Intel is in crisis and under pressure from very poor results due to its massive and currently unproductive investments in its foundries. Several rumours are circulating about the pivot the company will attempt to maintain its course. Last week we mentioned the rumour of a complete sale of the foundry division, the keystone of Pat Gelsinger’s strategy… It seems that this is not the priority option at the moment. It’s to have a clear vision and to quell the mistrust of the stock market that the Blues have hired Morgan Stanley and Goldman Sachs to propose strategies and, above all, to sell certain assets.
If we are to believe the first leaks from the work of these consultancies firm, the first remedy proposed would be to sell Altera, the programmable chips division which has never been profitable. This proposed sale is likely to be presented to the company’s board of directors this month as part of a plan to eliminate unnecessary activities and reorganise capital expenditure. The potential buyer would be Marvell, bearing in mind that Intel bought it in 2015 for $16.7 billion.
Crisis at Intel: towards the cancellation of the German Fab?
But the cost-cutting plan could also include abandoning the German manufacturing unit, which was expected to cost $32 billion, according to one source, despite numerous subsidies. At this price, Pat Gelsinger could save his strategy and continue to accelerate the upgrading of his manufacturing units, for which Intel has already committed billions of dollars. Let’s not forget that the company has already taken this step and is the only one in the world to currently have two ASML scanners equipped with High-NA EUV technology.
The plan should be put to the Board of Directors in the second half of September. It should be noted that all these leaks, verified or not, have caused Intel’s share price to rise by nearly 7% in 48 hours…
