Where Did It All Go Wrong For Intel?
July 12th, 2020Via: Financial Times:
There are two factors behind this massive shift in relative value. The most significant has been Intel’s failure to maintain its flawless execution. Its move to the latest generation of chips — with features that are only 10 nanometres wide — has been plagued with manufacturing problems. For the first time, TSMC has leapt ahead.
Their different business models mean the two are not direct competitors. But TSMC has served as a manufacturing platform for a new raft of new competitors, opening the way to fabless chipmakers that do not own their own plants, including Nvidia and AMD.
The other factor in Intel’s recent eclipse has been the data explosion and rise of machine learning. The most valuable part of the market, for training machine learning algorithms, is one where Nvidia is well ahead.
