Caixin Weekly | Chen Liwu's Dramatic Rescue of Intel (AI Translation)
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当地时间2025年4月29日，美国加州圣何塞，英特尔晶圆代工业务大会上，英特尔CEO陈立武。图：AndrejSokolow/ICPHOTO
文｜财新周刊 刘沛林 发自美国加州圣何塞
By Caixin Weekly's Liu Peilin, reporting from San Jose, California, USA
文｜财新周刊 刘沛林 发自美国加州圣何塞
By Liu Peilin, Caixin Weekly, reporting from San Jose, California, USA
美国时间4月29日，英特尔（Intel）在美国总部加州圣何塞举办了第二届代工业务大会。这家曾经独步全球的半导体巨头，亟须证明自身价值不仅在于芯片研发设计，还有在美国发起贸易战背景之下越来越被看重的先进制造能力。
On April 29, U.S. time, Intel hosted its second annual foundry services conference at its headquarters in San Jose, California. The once-dominant semiconductor giant is now under pressure to demonstrate that its value lies not only in chip research and design, but also—against the backdrop of an escalating trade war initiated by the United States—in its increasingly coveted advanced manufacturing capabilities.
然而在过去十年，英特尔的诸多业务领域已被日本、韩国、中国公司逐步超越。英特尔极力突出“美国晶圆厂”的标签，从2022年起的五年内，计划在美国投资超过1000亿美元。该公司也是《2022年芯片与科学法案》的最大受益者，截至目前获得了78.6亿美元直接补贴，远超台积电和三星。
However, over the past decade, many of Intel’s business sectors have gradually been surpassed by companies from Japan, South Korea, and China. In response, Intel has increasingly emphasized its identity as an “American foundry,” and since 2022, the company has announced plans to invest more than $100 billion in the United States over a five-year period. Intel has also emerged as the largest beneficiary of the 2022 CHIPS and Science Act, having received $7.86 billion in direct subsidies to date—far exceeding allocations for TSMC and Samsung.
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Caixin is acclaimed for its high-quality, investigative journalism. This section offers you a glimpse into Caixin’s flagship Chinese-language magazine, Caixin Weekly, via AI translation. The English translation may contain inaccuracies.
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Caixin Weekly | Chen Liwu's Dramatic Rescue of Intel (AI Translation)
Explore the story in 30 seconds
- Intel faces fierce competition from Nvidia, TSMC, AMD, and others, leading to a $18.8 billion net loss in 2024; rivals like Nvidia ($72.8 billion net profit) and TSMC ($90.1 billion revenue) have surged ahead in technology and market value.
- New CEO Chen Liwu is implementing restructuring, streamlining, and divesting non-core assets to restore competitiveness, targeting AI, advanced packaging, and the automotive sector, while deepening ties with the Chinese market.
- Intel’s foundry business lags behind TSMC in yields and process technology, with service orientation and delivery timelines as urgent improvement areas; culture changes aim to revive innovation.
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Who’s Who
- Intel
- Intel, once a semiconductor leader, now faces fierce competition from TSMC, Samsung, AMD, and Nvidia. Intel is restructuring under CEO Lip-Bu Tan, emphasizing advanced manufacturing, cost-cutting, and focusing on AI, foundry, PCs, and automotive chips. Despite heavy investments and U.S. government subsidies, Intel struggles with profitability and technical delays but aims to regain trust by improving technology nodes and company culture, especially in the U.S. and China markets.
- TSMC
- TSMC has significantly surpassed Intel in chip manufacturing processes, with its 3nm technology mass-produced by the end of 2022. TSMC's 2024 revenue reached $90.1 billion with a 40.5% net profit margin, and its market value is nine times that of Intel. TSMC serves top clients like Apple and Nvidia, maintaining high yields (70-80%), and is expanding US-based factories, making direct competition challenging for Intel.
- Samsung
- According to the article, Samsung has surpassed Intel in chip manufacturing processes. Samsung also acquired Intel's NAND memory business in 2020, including solid-state drive operations and the Dalian NAND flash plant in China. In the foundry business, Samsung is one of Intel's main competitors, and both face challenges catching up to TSMC. Additionally, Samsung's manufacturing yield rates for advanced chips are currently lower than TSMC's, making cost competition difficult.
- NVIDIA
- According to the article, NVIDIA has greatly benefited from the AI boom, with 2024 revenue reaching $130.5 billion (up 114% year-on-year) and net profit at $72.8 billion (up 145%). NVIDIA’s market value is about 30 times that of Intel. NVIDIA’s GPUs have challenged Intel’s CPUs and currently dominate the AI chip market, supported by its robust CUDA software ecosystem.
- AMD
- According to the article, AMD, also based on the x86 architecture, has captured market share from Intel in both CPU and GPU segments. In the consumer PC market, AMD’s share grew from 17.1% in Q4 2022 to 24.6% in Q4 2024. In the AI server space, AMD’s MI300 series reached over $2 billion in revenue in 2024. AMD’s competitive gains are challenging Intel’s traditional dominance.
- Walden International
- Walden International is a globally significant semiconductor investment firm, founded by Lip-Bu Tan. Tan, who became Intel’s CEO in March 2025, invested in 251 semiconductor companies through Walden, including TSMC and China’s SMIC, and has served on both companies’ boards. Walden International is known for its deep influence and experience in the semiconductor industry, giving Tan unique insights into both Intel and its competitors.
- SMIC
- According to the article, SMIC (Semiconductor Manufacturing International Corporation) is a Chinese wafer foundry company that was personally invested in by Lip-Bu Tan, Intel's new CEO, who also served on its board. This highlights Tan's deep understanding of both Intel and its global competitors, including SMIC. However, the article does not provide further operational or market details about SMIC itself.
- Alibaba Cloud
- According to the article, Alibaba Cloud remains a key customer for Intel, still requiring Intel's products for AI PCs, automotive applications, and embodied intelligence, among other areas. Despite Intel's recent challenges and ongoing restructuring, the company continues to focus on the Chinese market, with Alibaba Cloud recognized as an important business partner in its ongoing strategies.
- Amazon AWS
- According to the article, Amazon AWS has expanded cooperation with Intel: Intel's foundry will produce AI chips for AWS using the Intel 18A process and server chips using Intel's 3nm process. However, there have been reports of delays with the 18A process, and AWS, alongside other partners, has not publicly disclosed further progress on their 18A-related projects.
- Microsoft
- According to the article, Microsoft is one of the major customers for Intel's advanced Intel 18A (1.8nm) manufacturing process. Intel announced at its foundry business conferences that it has secured orders from Microsoft and that Intel's own server processors using the 18A node have already been trial-produced. However, there have been reports of delays and limited updates on the progress of these external customer orders, including Microsoft's.
- SK Hynix
- According to the article, in October 2020, Intel sold its NAND (non-volatile memory) solid-state drive business, NAND component and wafer business, and its Dalian NAND flash memory production facility in China to South Korean semiconductor company SK Hynix for $9 billion. This deal marked Intel’s exit from the storage business segment, transferring its only Asian wafer facility to SK Hynix.
- Habana Labs
- Habana Labs is an AI chip startup acquired by Intel in December 2019 for $2 billion. Based on Habana Labs’ technology, Intel launched the Gaudi 2 AI chip in 2022 (using TSMC’s 7nm process) and Gaudi 3 in 2024 (using TSMC’s 5nm process). Gaudi 3 reportedly offers significant performance gains compared to Nvidia’s H100. Shipment data for Gaudi 3 has not been disclosed.
- Mobileye
- Mobileye is an Israeli company specializing in intelligent driving solutions. Intel acquired Mobileye in 2022, when it held the top global market share. However, Intel did not fully integrate Mobileye, especially in China, where Mobileye’s products and implementation largely relied on local outsourcing companies. In 2023, after Mobileye’s IPO, rumors emerged about Intel potentially selling its stake in the company.
- Altera
- Altera, Intel’s wholly-owned FPGA (Field Programmable Gate Array) subsidiary, was acquired for $16.7 billion but struggled in the market. In April 2025, Intel announced selling a 51% stake in Altera to Silver Lake for $4.46 billion, valuing Altera at $8.75 billion. In 2024, Altera had $1.54 billion in revenue but a $615 million loss. Compared to AMD's Xilinx, Altera underperformed, especially in automotive applications.
- Silver Lake
- Silver Lake is a private equity firm. In April 2025, Intel announced the sale of a 51% stake in its fully-owned FPGA subsidiary, Altera, to Silver Lake for $4.46 billion, valuing Altera at $8.75 billion. Silver Lake will take over as part of Intel’s asset restructuring plans under new CEO Lip-Bu Tan.
- Xilinx
- According to the article, Xilinx was acquired by AMD, and AMD successfully leveraged Xilinx's FPGA technology in the automotive market. In contrast, Intel's acquisition of Altera did not achieve similar market breakthroughs. The article suggests that AMD's integration of Xilinx was notably effective, especially within the automotive sector, compared to Intel's handling of Altera.
- Qualcomm
- The article mentions Qualcomm in the context of the AI PC market. Qualcomm has launched its new PC processor, Snapdragon X Elite, and the first batch of AI PCs with Qualcomm chips have hit the market. Qualcomm’s CEO Cristiano Amon stated that more collaborations with PC brands are planned for 2025, with entry-level AI PCs expected to start at $700, and over 100 models expected by 2026 from major OEMs.
- Apple
- According to the article, Apple replaced Intel chips with its own self-developed M1 chips in November 2020 after a 15-year partnership. Since then, Apple has launched three generations of its chips. Canalys data shows Apple’s global PC market share (by shipments) rose from 6.9% in Q4 2019 to 10.4% in Q1 2025, indicating its growing presence after switching away from Intel.
- ASUS
- ASUS is mentioned in the article as one of the OEM manufacturers developing or mass-producing PCs equipped with Qualcomm’s Snapdragon X Elite chip for AI PC applications. By 2025–2026, ASUS is expected to be among over 100 models incorporating this chip, alongside brands like Acer, Dell, HP, and Lenovo, as part of the expanding AI PC market.
- Acer
- According to the article, Acer is listed among several OEM manufacturers that are producing PCs equipped with Qualcomm’s Snapdragon X Elite processor for AI PCs. Qualcomm's CEO mentioned that, by 2026, over 100 PC models featuring their AI chips would be available, with Acer included alongside ASUS, Dell, HP, Lenovo, and others.
- Dell
- According to the article, Dell is mentioned as one of the OEM manufacturers that will use Qualcomm’s Snapdragon X Elite chips in their AI PCs. Qualcomm’s CEO stated that, by 2026, over 100 models featuring these chips are expected, covering brands like Asus, Acer, Dell, HP, and Lenovo. No other specific details regarding Dell are provided in the article.
- HP
- According to the article, HP is mentioned as one of the OEM manufacturers adopting Qualcomm’s Snapdragon X Elite chips for AI PCs. Qualcomm claims that over 60 PC models with these chips are already in production or development, spanning brands such as Asus, Acer, Dell, HP, and Lenovo. This reflects HP’s participation in the emerging AI PC segment leveraging Qualcomm processors.
- Lenovo
- According to the article, Lenovo is mentioned as one of the OEM manufacturers that will use Qualcomm's Snapdragon X Elite chip in upcoming AI PCs. The article notes that by 2026, over 100 models using this chip are expected from brands like ASUS, Acer, Dell, HP, and Lenovo. This indicates Lenovo's involvement in the development and production of next-generation AI-powered personal computers.
- Marvell Technologies
- Marvell Technologies is a prominent semiconductor company known for developing storage, networking, and connectivity solutions. In 2024, Kevin Buckley, previously with Marvell Technologies, joined Intel’s foundry division to oversee customer and ecosystem operations. Marvell’s expertise in semiconductors and Buckley’s industry experience were highlighted as valuable assets to Intel’s efforts to revamp its foundry and customer service capabilities, as mentioned in the article.
- Micron
- According to the article, Naga Chandrasekaran worked at Micron for over 20 years, serving as a senior vice president of technology development. In August 2024, he joined Intel's foundry division. No further details about Micron are mentioned in the article.
- UMC
- According to the article, UMC (United Microelectronics Corporation) is collaborating with Intel on 12nm process chip manufacturing. UMC will be responsible for customer development, while Intel’s Arizona factory will handle 12nm product production. The partnership aims to start mass production in January 2027, helping Intel improve factory utilization and profitability.
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