Intel reportedly weighs major changes
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Intel has asked Goldman Sachs and Morgan Stanley to evaluate strategic options that could include a sale or spinoff of its manufacturing unit, as first reported by Bloomberg.
Why it matters: Intel isn't just one of America's oldest chipmakers, but it's also a key national security asset. CEO Pat Gelsinger desperately needs to right the ship, even if that requires a drastic course correction.
Catch up quick: Company shares are down 58% this year, and it's no longer a top 10 chipmaker by market cap.
- Headlines have been dominated by losses and layoffs, despite Intel being expected to receive billions of dollars via the CHIPS Act.
Go deeper, via Bloomberg: "Gelsinger's comeback plan hinged on recasting Intel into two groups: one that designs chips and another that manufactures them. The production arm would then be free to seek business from other companies. But the biggest client of Intel's factory network is still Intel."
