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Intel Chief ‘Focusing On Existing Strategy’

  • Intel's new chief executive, Lip-Bu Tan, is primarily focused on improving the execution of the company's existing strategy rather than making significant changes, according to chief financial officer Dave Zinsner.
  • The only area where Tan is planning significant shifts is in Intel's AI chip strategy. Intel is not planning to split off its manufacturing division and bring in outside companies to help run it, suggesting a gradual shift in strategy.
  • Intel is unique in designing and producing its own chips, rather than outsourcing production. Tan is not planning to divert from the path of becoming a contract chip manufacturer and opening up its plants to outside customers.
  • Intel is working on bringing in more outside customers for its advanced technology chips, but the committed volume remains low. The foundry unit is projected to break even in 2027, requiring external customers to generate revenue in the low to mid-single digit billions of dollars.

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