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Intel builds a new megafab in Germany
https://swordstoday.ie/intel-builds-a-multi-billion-dollar-chip-factory-in-magdeburg/
This is a new one: Intel thriving on old technologies.
Northland Capital markets analyst Gus Richard raised his rating on Intel to outperform with a price target of $62 even though there remain “lots of negatives.”
“For the first time in many years, we think Intel is starting to executeon a coherent strategy,” Richard said. “We expect Intel to leverage its [System in Package] capability and optimize its fab resources producing die that is best built on older technology.”
https://bityl.co/ANaE
Interesting: Gelsinger asks EU to pay full cost of European fab
https://www.electronicsweekly.com/news/business/gelsinger-asks-eu-pay-full-cost-european-fab-2021-04/
This is what Gelsinger wrote:
https://www.ft.com/content/34b07427-6bca-431d-8406-62762fc46941
Elmer is here: https://bit.ly/2QzpJDE
Arm Ltd debuts new chip technology aimed at overtaking data centers
https://reut.rs/3m2UtbI
"Intel's push into foundry services may seem odd, given its recent struggles with manufacturing, but it may be the only way to justify the massive investments Intel will have to make to regain its manufacturing edge. And foundry services could become a highly profitable business in its own right for Intel if everything goes according to plan."
https://bit.ly/39uDwBX
if everything goes according to plan
and if not?
Oregon becoming irrelevant?
https://bit.ly/3apqmaH
U.S. Defense Department looks to bolster domestic chip manufacture with new program
8:58pm ET, 12/17/2020 - Reuters
By Stephen Nellis
SAN FRANCISCO, Dec 17 (Reuters) - The U.S. Defense Department will soon start soliciting proposals for a program to provide incentives to boost semiconductor manufacturing capabilities in the United States, according to a posting on a government contracting site.
Major American semiconductor companies such as Apple Inc , Qualcomm Inc and Nvidia Corp rely on outside manufacturers such as Taiwan Semiconductor Manufacturing Co Ltd (TSMC) or Samsung Electronics Co Ltd to fabricate their chips in what are called foundries.
Most of those foundries are located in Taiwan or South Korea. While Intel Corp operates U.S. chip factories, they are mostly dedicated to manufacturing its own chips rather than doing work for outside clients.
The Defense Department is looking to change that dynamic by providing incentives for the development of chip-related intellectual property and the creation of advanced foundries in the United States, according to a notice posted to the website of the National Security Technology Accelerator, a nonprofit group that works to connect private-sector companies to government contract opportunities.
The foundries would handle commercial work from U.S. companies and could also provide components to the Defense Department, it said.
The Defense Department plans to announce a program called "Rapid Assured Microelectronics Prototypes – Commercial", or "RAMP-C" for short, that will complement existing programs it recently launched to encourage U.S. chip manufacturing.
"There is currently no commercially viable option that can provide a U.S. located leading-edge foundry that can fabricate the assured leading-edge custom integrated circuits and Commercial off the Shelf (COTS) products required for critical DoD systems. The purpose of the RAMP-C program is to incentivize such an option," the posting said.
In October, one of Intel's plants in Arizona won the second phase of a contract aimed at helping the U.S. military develop advanced chips more quickly. TSMC, a major supplier to Apple, is also independently working to build a $12 billion chip plant in Arizona, where Phoenix city officials last month authorized a development agreement related to the project. (Reporting by Stephen Nellis, Editing by Rosalba O'Brien)
Samsung Intensifies Chip Wars With Bet It Can Catch TSMC by 2022
betting on 3nm gate-all-around vs. FinFet:
https://bloom.bg/36Jbkck
Interesting read part 2: https://bit.ly/3leuA75
Intel wins second phase of contract to help Pentagon develop chips
https://bit.ly/36nDpHA
Intel appoints new strategy chief: Safroadu Yeboah-Amankwah
https://bit.ly/32QsZOp
Any idea what this means? What was missing or wrong with "strategy" so far, if there was any?
Great analysis. Where is a new Grove?
With the current board Intel is doomed.
Intel now another has-been:
https://on.mktw.net/326qBDa
Apple will announce move to ARM-based Macs later this month
Took longer than expected.
https://tinyurl.com/y7dvtakz
Hype and speculation - as usual before an earnings report.
Then the usual pattern: INTC beats expectations, stock drops.
https://www.marketwatch.com/story/intel-gets-an-upgrade-at-jefferies-on-hopes-change-is-coming-2020-01-21?siteid=rss&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A%20marketwatch%2Fmarketpulse%20(MarketWatch.com%20-%20MarketPulse)
... and pricy: ~$100 million per EUV scanner.
"The total ASML output is only 30 steppers this year (2019), split between INTC, Samsung and TSMC. I suspect D1X has enough room for all the steppers ASML can ship in 2020. "
https://www.anandtech.com/show/13904/asml-to-ship-30-euv-scanners-in-2019
https://seekingalpha.com/article/4279782-asml-holding-top-semiconductor-food-chain
Intel announced a quarterly dividend of $0.315 per share
($1.26 per share on an annual basis).
Count your beans! Yaaawn - no change.
https://www.pressofatlanticcity.com/business/intel-declares-quarterly-cash-dividend/article_268d27dd-3d8b-53c8-bcbc-bc9f9f629f17.html
The sad reality:
"The key investor takeaway is that the Q2 report from Intel hid some ugly under the surface numbers. The market caught onto this fact and sold off the stock.
The risk remains that Intel fails to hit aggressive revenue targets that predict a revenue bump in 2021 of up to 10% while losing revenue from the modem business. More failure from the company will lead to cut targets and weak stock prices. Investors should continue to avoid the chip giant under the current leadership."
https://seekingalpha.com/article/4279018-intel-surface-failure
+ add the escalating trade war!
Wonderful profit with closing covered calls!
Intel drops 5G phones after Qualcomm-Apple truce
https://arstechnica.com/gadgets/2019/04/intel-quits-5g-modem-business-hours-after-apple-settles-with-qualcomm/
"In the smartphone modem business it has become apparent that there is no clear path to profitability and positive returns," Intel CEO Bob Swan said in yesterday's press release.
and
"Intel expected the bulk of its CPU designs to be on the 10 nm node by now. The 14 nm node requires a lot of multipaterning. They also design other stuff other than CPUs and of course they allocate those designs to process nodes. So the fact that 10 nm capacity isn't available has a ripple effect. "
Intel Board of Directors Extends Andy Bryant’s Term as Intel Chairman until 2020
Unanimously!
https://apnews.com/Business%20Wire/07d2ab796c0e434eb8327350854e9739
Bryant: "I expect this would be my last year of service as a member of Intel’s board.”
Intel declares $0.315 dividend
... as expected.
Foveros 3D
https://www.theverge.com/2018/12/12/18137401/intel-foveros-3d-chip-stacking-10nm-roadmap-future
"It’s readily apparent from today’s announcements that Intel has engaged in a major rethink and reorganization of its chip design strategy and philosophy. That’s no less than should be expected from a company that hired a new chief architect, Raja Koduri, a year ago from archrival AMD. Koduri was a very senior figure at AMD, and he’s evidently taken on a similarly influential role in steering Intel’s future direction."
We still have to see when and how this translates into design wins and products.
Intel Stock Gets Upgraded Because It’s Too Cheap
"Morgan Stanley believes Intel stock will rally, reasoning that a new, financially savvy chief will help lift a valuation that is low in historical terms.
The firm’s analyst Joseph Moore raised his rating for Intel stock to Overweight from Equal-Weight.
Moore raised his price target for the shares to 64 from $55.
The analyst noted Intel trades at a forward price/earnings ratio of 11.7 times, which is 15% lower than its historical average. He cited how the chip maker has a dominant share of the PC market at nearly 90%."
https://www.marketwatch.com/articles/intel-stock-upgraded-cheap-51550866061
My take: A short-term recommendation - another opportunity to profit from covered calls.
Apple says bye bye to Intel modems:
https://www.bizjournals.com/sanjose/news/2019/02/07/apple-in-house-modem-group-srouji-aapl-qcom-intc.html?ana=yahoo&yptr=yahoo
but expansion plans in Oregon (D1X phase 3):
https://www.anandtech.com/show/13933/intel-details-plans-for-its-oregon-fab-expansion-d1x-phase-3
Srouji?!
https://9to5mac.com/2019/01/15/intel-apple-johnny-srouji-ceo/
https://www.axios.com/apple-exec-on-intels-ceo-candidate-list-1547565241-0e48d7d0-8ce2-440e-9f13-a9c5788e0b31.html?utm_source=twitter&utm_medium=twsocialshare&utm_campaign=organic
https://finance.yahoo.com/news/intel-reportedly-considers-apple-apos-004500306.html
... thoughts:
https://www.networkworld.com/article/3333778/techology-business/why-is-intel-without-a-ceo-after-seven-months.html
... not gonna happen:
https://www.extremetech.com/computing/283865-rumors-once-again-surface-that-intel-could-purchase-amd
The two sides of diversity:
A. To improve the efficiency and effectiveness of the organization. This side of diversity is not a primary goal, but a tool to improve.
B. Diversity is a human rights value, a primary goal.
So companies need to decide whether it's A, B, or A and B (and how to balance them, if needed).
Intel's board is the problem:
“It seems like the board is spineless"
https://www.networkworld.com/article/3333778/techology-business/why-is-intel-without-a-ceo-after-seven-months.html
Zacks likes INTC:
Intel is currently trading at 10.3X forward 12-month Zacks Consensus EPS estimates, which represents a discount compared its industry’s 13.1X average and the S&P’s 15.8X. Better yet, INTC stock has traded as high as 14.8X over the last year alone and rests below its five-year median of 13.3X and right above its five-year low of 10X. Therefore, Intel’s valuation picture looks pretty attractive at its current level.
https://www.zacks.com/stock/news/342447/intel-intc-stock-looks-like-a-strong-buy-heading-into-2019
Intel plans 'stacked' circuits in bid to regain its chipmaking lead
https://www.reuters.com/article/us-intel-tech/intel-plans-stacked-circuits-in-bid-to-regain-its-chipmaking-lead-idUSKBN1OB1T5
https://www.theglobeandmail.com/business/technology/article-intel-hopes-stacked-circuits-can-help-it-return-to-top-of-chip/
Intel's guidance for 2018 vs. 2017 is +13% revenue and +31% EPS.
They usually guide below what become actual numbers.
With 2019 expectations, it should justify a dividend increase
and stock buy-backs during downturns.
Dividend increase ahead?
The 2019 consensus of analysts seems to be around $72B revenue, $4.25 EPS.
Will we hear the truth this week?
Charlie: Intel kills 10nm.
https://semiaccurate.com/2018/10/22/intel-kills-off-the-10nm-process/
Intel tweet: No sir.
Media reports published today that Intel is ending work on the 10nm process are untrue. We are making good progress on 10nm. Yields are improving consistent with the timeline we shared during our last earnings report.
— Intel News (@intelnews) October 22, 2018
Sohail Ahmed managed the demise of TMG - once Intel's crown jewel, but now no more.
As "Moore's law" is approaching its end, one can only hope Ahmed's
successor will find a new, successful approach. If not, TMG may turn out to be another commodity supplier, besides TSMC and Samsung with uncertain prospects.
Intel to outsource 14nm chip production due to tight supply
Here is the link:
https://www.digitimes.com/news/a20180910PD210.html