So with all the negative developments in the last quarter and the turnaround still uncertain, what is the worst case scenario for this company that you can think of?
Worst Case scenario for Intel
byu/SexyDave91 inwallstreetbets
Posted by SexyDave91
15 Comments
What negative developments are you fucking talking about? Grandma’s death?
You mean following recent bad news?
1) Great new cpu lineup: lunar lake and arrow lake
2) Progressing with 18A
3) Deal with IBM to deliver AI
3) AWS collaboration to fabric custom chips
Worst case? I think it’s losing the support of the US government. That would only happen if tsmc builds enough production capacity in the US and of course also the high tech stuff they keep in Taiwan. Still, right now politically the propping up legacy national businesses is en vogue so it would look bad if Intel fails.
So realistically it would look like this: Intel keeps doing terribly and holds on to their various parts too long until they have to fire sale them and by then it will only be a fraction of itself trading at a fraction of its current share price and that for a long time until the very much smaller and different future Intel shows promise of higher revenues and profits. I actually believe that won’t happen, there must be competence left at Intel to turn ship around and innovate again to find a profitable niche.
Their 20A and 18A nodes turn up to be failures like their 10nm one. Years late, low yields, bad under most aspects (power consumption, heat).
Their sales keep slumping.
Markets will come for CEO head. Another CEO comes in, scraps most foundry business, sells it for peanuts, Intel inherits all legal obligations by the fundings they got from various governments in the world. Sells most of its patents for peanuts to various other big techs. Shareholders don’t see any money, because patents and business sale can’t even cover debts.
10 years later, foundry business takes off decently sort of like Global Foundries but on more competitive nodes. Becomes nice cow to milk. Patents keep on giving solid revenues. Nana keeps wondering why did she saved for all her life just so her grandson gambled it away.
Qualcomm is interested in buying Intel, not sure about the worst, but that’s probably the best case scenario at this point.
Cpu is really important for the government power. They will not let it go down.
Being bought by Qualcomm. What a shitty company.
Me buying the intel dip, now we’re guaranteed to lose.
After I take profit on current calls I’m all in on intel call 2026
A GM style package from the government that keeps them in business but wipes the shareholders
Intel pulls a Blackberry – long slow decline that becomes a meme stock to pull in some regards for a pump before collapsing again.
Worst case scenario? Everyone at the company gets ebola and then a nuclear bomb goes off because one of their chips went rogue.
They have an engineer as CEO. Sure he’s a ways away from when he was in charge of the 486, but it’s take. Intel years of stupid accountants running the show. I remember a blog post I wrote from almost 20 years ago that was critical of Craig Barrett, former intel CEO. Mr Barrett was an electrical engineer but he acted like an accountant and was quick to blame his people when intel management was making really bad decisions based around short term thinking.
Intel turned their nose up to the iPhone in 2005/6. “It will only see a few hundred thousand copies.” What a freaking mistake.
Intel turned their nose up at graphics. All the while, nvidia became the graphics company. What’s graphics good for? Beyond graphics, it’s secuity algorithms. That leads you to crypto. Those same algorithms are good for ai. Nvidia wins again.
Apple had used Intel for the brains of their macs since 2005/6. Apple shipped a buggy skylake processor and Intel wouldn’t fix the bugs. And then Intel tried to go cheap in their shrink, which didn’t work well. Apple got tired of deal with them for their cous. Apple did buy their mobile communication chip business a few years ago.
And now Intel is dealing with this voltage issue and big time returns on their 13 and 14th gen high end cpus.
None of these are good stories. The worst case is that some private equity firm buys them out. That’s the death knell for them.
I wouldn’t be opposed to Qualcomm buying them.
If lunar lake comes out good and Intel can grow it in multiple generations, that good.
I think Intel needs to push their graphics capabilities with that xe engine, or whatever the name is, and its subsequent generations.
I think they need multiple people out there knocking on doors asking how Intel can help them. Sure, do it I. Silicon Valley, but that should give them a view of what is happening and how Intel can help. That will also tie Intel in with a bunch of companies and financially stabilize Intel.
Worst case is it goes tits up. Giants can be slain. No king reigns forever.
Full recall of 13th and 14th would do it