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Intel shares fall after company blames shrinking PC chip business on component shortages

  • 📰 CNBC
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  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 15%
  • Publisher: 72%

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Intel is in a period of massive capital expenditure as it spends $20 billion this year, including on a new semiconductor factory in Arizona.

Investors are closely watching Intel's gross margin as the company spends on ramping up new production lines to catch rivals in semiconductor performance.

The company plans to shift its business model to become a manufacturer, or foundry, for other chip designers, in addition to continuing to design and manufacture its own processors. The quest to become a foundry is an expensive initiative that could have its costs defrayed by government support in the U.S. and Europe. The new strategy was spearheaded by CEO Pat Gelsinger, who took the helm earlier this year.

Intel is likely to provide more details on how it sees the transition to becoming a foundry and its views on its technology roadmap next month at its analyst day.

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 /  🏆 12. in KR
 

귀하의 의견에 감사드립니다. 귀하의 의견은 검토 후 게시됩니다.

Seems deflationary

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