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Veteran Intel Board Members Warn of Impending Fab Decline, Urge U.S. Intervention
7 Aug
Summary
- Four former Intel board members warn of "gradual exit" from chip manufacturing
- Cite "missed deadlines, poor execution, and misguided strategy" behind Intel's woes
- Recommend U.S. government-backed partnership to acquire Intel's fabrication assets
According to a recent report, four former Intel board members have expressed grave concerns about the company's future in chip manufacturing. Charlene Barshefsky, Reed Hundt, James Plummer, and David B. Yoffie, who collectively served on Intel's board for over 70 years, paint a dire picture of the company's current state.
The quartet warns that Intel is in the process of a "gradual exit" from chip manufacturing, and that the U.S. government needs to intervene quickly to save the company's fabrication facilities before "the rust of time makes them worthless." They cite "missed deadlines, poor execution, and a misguided strategy" as the root causes behind Intel's woes, leading to the once-dominant chipmaker now appearing to be "dropping out of the race" to manufacture the most advanced semiconductors.
The former board members lament that their recommendations to spin off Intel's fabs into a separate entity have not been adopted, arguing that while it may make commercial sense for Intel to exit advanced chip manufacturing, the company's fabrication assets are too strategically important to the U.S. to be allowed to decline. They call for a "public-private partnership" involving future customers, investors, and government financing to acquire Intel's fabrication assets before they become irreparably damaged.
