Intel's Turnaround Stalls: Foundry Yield Issues and Data Center Share Loss
Key Questions
Why did Intel stock drop in mid-July?
Intel shares fell 4.22% to a one-month low on Jul 13 due to foundry yield issues on 18A and continued data center share loss to ARM and AMD. Gaudi 3 adoption has also been slow.
What does TSMC's revenue surge mean for Intel?
TSMC's 68% June revenue jump underscores Intel's competitive disadvantage in advanced nodes. It highlights execution risks in Intel's turnaround.
Is Intel still investing in its foundry business?
Yes, Intel announced a $5.7B Ireland expansion for Xeon 6 production on Intel 3, signaling ongoing commitment despite near-term challenges.
Intel stock dropped 4.22% on Jul 13 to one-month low, underperforming sector, due to foundry yield issues on 18A, data center share loss to ARM/AMD, slow Gaudi 3 adoption. TSMC's 68% revenue surge highlights competitive disadvantage. Dylan Patel cautions CPU demand normalization. However, $5.7B Ireland expansion for Xeon 6 on Intel 3 signals long-term foundry commitment. Mixed signals highlight execution risk. Earnings preview notes Intel as key name.