1. Sure, the USA NEEDS INTEL, as Intel is the one U.S. firm able to offering state-of-the-art logic manufacturing.
2. Neither Samsung or TSMC plan to deliver their state-of-the-art manufacturing to the U.S. within the close to time period.
3. U.S. clients like Nvidia, Apple, Google, and many others wants and may perceive they NEED a second supply for his or her lead product manufacturing as a consequence of pricing, geographic stability and provide line safety causes.
4. Intel is money poor and might’t afford to put money into the capability wanted sooner or later to switch TSMC or perhaps a affordable fraction of TSMC capability. They most likely want a money infusion of $40B or so to be aggressive. Realistically that funding is 100% of the Chip Act Capital grants so unlikely the USG is the savior.
5. The one place the money can come from is the shoppers. They’re all money wealthy and if 8 of them had been prepared to take a position $5B every then Intel would have an opportunity.
6. The current Intel CEO’s feedback about not investing in new know-how (14A) till clients enroll is a joke. To win on this house you should be the chief in know-how not the follower. It takes a number of years to create one among these applied sciences and no buyer desires to join one thing that’s second greatest.
7. Happily Intel has good know-how to work with (excessive NA EUV, bottom energy, and many others) so that they have a practical shot at management IF THEY INVEST NOW. They only want the cash.
8. The place does the cash come from? The shoppers make investments for a bit of Intel and assured provide. Why ought to they make investments? Home provide, second supply, nationwide safety, leverage in negotiating with TSMC, and many others. AND IF THE USG GETS ITS ACT TOGETHER, they catalyze the motion with a 50% (or no matter quantity Trump picks) tariff on state-of-the-art semi imports. If we will assist home metal and aluminum, certainly we will assist home semiconductors.
9. The FFWBMs (4 former clever board members) of Intel proceed to assert you have to interrupt Intel into two items earlier than any buyer will put money into Intel. Be severe. There are numerous firm interactions that contain each provide and competitors. It’s also extraordinarily exhausting to think about Intel actually competing with the likes of Nvidia, Apple, Meta, Google, Dell, and many others of their properly established product traces. By all means, if you wish to complicate the issue, then take the time to separate up Intel and make the FFWBMs joyful however when you’re within the enterprise of saving Intel and its core manufacturing power for the USA then remedy the actual drawback – quick funding in Intel, dedicated clients, nationwide safety, and many others.
10. POTUS and DoC can set the stage, the shoppers could make the required investments, the Intel Board can lastly do one thing constructive for the corporate, and we cease writing opinion items on the subject.
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