In the letter, Lip-Bu stressed that while turning the company around won’t be easy, he believes Intel has the tools to succeed. He took over as the company lost more than half its value by 2024, largely due to its failure to target the artificial intelligence (AI) industry, suspending its dividend, and struggling in enterprise computing.
Lip-Bu Tan will steer Intel through the difficulties
Intel aims for 'world-class foundry'
In his first message to employees, Lip-Bu struck a humble tone, emphasizing that customers are looking to Intel to “come together as a team and deliver for them.” He said Intel needs to position itself as a “world-class foundry,” suggesting that spinning off the business may not be his top priority.
When Lip-Bu took over Intel, speculation was rife about the company’s future. Following the surprise departure of his predecessor, Pat Gelsinger, there was talk that Intel might spin off its foundry business to focus on product design. Chip manufacturing is an expensive endeavor, and the move was thought to help stabilize the company’s balance sheet.
However, two former Intel CEOs, Michelle Johnstone Holthaus and David Zinsner, kept quiet about the possibility of a split at a Barclays conference in December. Holthaus stressed that a complete separation would not make sense if the two businesses were not related.
Intel's chip manufacturing division lost $7 billion
In the letter, Lip-Bu also expressed that the current challenges are the motivation for him to solve the problem. He believes that Intel has "a truly unique opportunity to reinvent the company at one of the most important times in its history." Although he acknowledged that turning things around will not be easy, he asserted that "we have what it takes to win."
Under Lip-Bu’s leadership, Intel will focus on becoming a leading engineering company. He stressed that customer satisfaction will be a key factor in achieving this vision. He is also committed to establishing Intel as a world-class foundry that delivers shareholder value.
Intel is now racing to provide 18A chip manufacturing and is aiming to attract customers for its foundry business to compete with TSMC in the contract manufacturing industry. TSMC has announced a $100 billion investment in the US and is building a new manufacturing facility in Arizona.
Source: https://thanhnien.vn/tam-thu-dau-tien-tan-ceo-intel-gui-den-toan-the-nhan-vien-18525031306311018.htm
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