Intel has a rare window of opportunity

Last week, Intel embarked on a new campaign offensive against Macs that’s widely perceived as weird, petty, and desperate in terms of rebuilding their product image.

But a new announcement Tuesday was something entirely different – plans to invest heavily into new manufacturing facilities to make chips for other companies. Basically, Intel could become another chip foundry giant like TSMC or Samsung.

It’s a rare, narrow window of opportunity for Intel since, as you well know, there are currently major chip shortages worldwide affecting a multitude of industries – thereby stressing TSMC, Samsung, and other foundries to their limits.

But it’s also an opportunity Intel could very well leverage successfully. In the process, they would be re-transforming themselves again, just as they did in the early 1980s in the transition from making memory chips to designing and building microprocessors.

There are uncertainties, however. It’s very well-known Intel has long struggled with its 7 nm chip manufacturing processes, yielding market share to rivals like TSMC with no such problems.

TSMC is manufacturing Apple’s M1 silicon for Macs based on a 5 nm architecture. Intel can’t do that right now.

Needless to say, it’s now absolutely critical Intel catch up in very short order by addressing their 7 nm manufacturing issues, and move toward becoming more of a real competitor to TSMC or Samsung.