"Intel Corp. is working with investment bankers to help navigate the most difficult period in its 56-year history, according to people familiar with the matter.

    The company is discussing various scenarios, including a split of its product-design and manufacturing businesses, as well as which factory projects might potentially be scrapped, said the people, who asked not to be identified because the deliberations are private.

    Morgan Stanley and Goldman Sachs Group Inc., Intel’s longtime bankers, have been providing advice on the possibilities, which could also include potential M&A, the people said. The discussions have only grown more urgent since the Santa Clara, California-based company delivered a grim earnings report, which sent the shares plunging to their lowest level since 2013.

    The various options are expected to be presented during a board meeting in September, the people said.

    No major move is imminent and discussions are still in early stages, the people cautioned. A representative for Intel declined to comment, while Morgan Stanley and Goldman Sachs didn’t immediately respond to requests for comment."

    TLDR: Intel has no idea what they're doing and is freaking out. Grams continues punching air in heaven.

    https://www.bloomberg.com/news/articles/2024-08-30/intel-is-said-to-explore-options-to-cope-with-historic-slump?embedded-checkout=true

    Intel Is Said to Explore Options to Cope With Historic Slump
    byu/AlmostAsianJim inwallstreetbets



    Posted by AlmostAsianJim

    28 Comments

    1. throwaway911turbos on

      What happened to that guy that invested grandma’s inheritance in Intel? How’s he feeling about this?

    2. I have never seen options activity like I did today for INTC. – have been tracking INTC options everyday this year.

    3. AmazingSibylle on

      Bunch of bs, it just means consultants are lining their pockets and paying the public sector lip service in order to buy time.

      Everyone knows what is needed: Intel needs to fucking get a superior product launched that wins a few big orders and gets their factories pumping out better chips than AMD and competitive GPU’s. That’s it, that is the bet, that is the thesis.

      Worst thing real investors can do now is to prematurely sell the company for parts, or start doing MBA money-extracting-practices etc. Let the company cook, and if the products aren’t good enough in 2025/2026 only THEN can anyone conclude that ‘the new Intel’ has failed.

    4. ActionNorth8935 on

      I think the only thing that can save them now is if they’re bought by someone else who can clean house with the whole Intel upper management. Sadly they’re not going to allow that to happen. They rather save their own asses than the company.

    5. ScipioAfricanusMAJ on

      Grandmas grandchild currently trying to think of ways to fail assassinate president Xi to declare war on Taiwan to tank TSMC to force contracts to pump up intel

    6. Remember when Pat said AMD was in their rearview mirror and never to be seen in the windshield again?

      PepperBridge Bets remembers

    7. One_Kaleidoscope_611 on

      Grandma is now the CFO and is handing out intel stock like hard candy. She can’t wait for Halloween . She will be a hit with the kiddos!

    8. Recent-Match7448 on

      Wait hold the phone. Pat made a statement that basically said “I’ve got nothing for you?” Then he continued to buy the top. Pat you’re playing with peoples inheritances here…. Get it together.

    9. I have 10 $21 calls expiring in December. After that i don’t really care what happens. Lol

    10. Impressive_Age_6569 on

      I don’t think it is bad thing if Intel goes through some restructuring to make its business more efficient. If spinning off the foundry section, Intel can then focus on R&D in design business.

    11. Lower_Fox2389 on

      Investment bankers are the first people I call when I have problems in chip manufacturing.

    12. Someone please tell Pat he needs to raid the Intel war chest and buy what’s left over from VMware away from Broadcom. Seriously VMware is a cash cow and Broadcom is shitting the bed with how they handled the acquistion. We really need Pat to get back to his roots with VMware and save the day here.

    13. As ex-Intel I can give an advice or two for free.

      Do serious review and fire 40% of higher level management including Fellows, Sr. PEs, PEs, VPs which are not willing to do new things, risk a little bit, learn new things and are only there to collect good paychecks and stocks, not letting younger engineers do their stuff and being promoted. Let new blood to improve things.

      X86 CPU is not enough to survive, so stop shuttting down every idea that can decrease demand for those.

      Accountants, don’t expect that new investment and ideas will bring serious money just in one year timeframe and stop prematurely shuttting down projects in early phase.

      Treat your customers well, support them well, including both corporations and enthusiasts.

      Make this company engineers driven again, not accountants and marketing driven. No, current CEO is not an engineer, even if he was It was long time ago.

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