Intel’s Push Towards Becoming a Contract Manufacturer of Computational Accelerators
Patrick Gelsinger, Intel’s CEO, expressed the company’s pursuit to manufacture chips for computational accelerators, developed by its clients, during an interview with CNBC at Computex 2024. This move to advanced manufacturing processes aims to augment the attractiveness of the company’s services.
“We want to create chips for everybody, AI chips for everybody. We want to manufacture them in our American facilities”, Patrick Gelsinger declared on CNBC. However, Intel must first reclaim its leadership in lithographic technologies. Gelsinger attributed a major portion of the company’s financial losses to uncompetitive technology. To recall, Intel’s production division suffered operational losses amounting to $7 billion last year.
Critical Role of Capital Accessibility for Intel
Gelsinger emphasizes the critical role of capital accessibility for the company. Specifically, the US’s ‘Chip Act’ would grant Intel subsidies equating the expenditure on building its facilities with that of their Asian competitors. Importantly, achieving technological leadership would enhance the company’s profitability, serving as a competitive advantage. It has been noted that while striving for this goal, Intel intends to maintain access to the Chinese market within the boundaries set by both US and China’s laws.
