How did Intel fall so hard?In early 2000's intel missed a chance to take over smartphone chip market which is worth 100$ billion due to its arrogant manageme...
  • Hugin@lemmy.worldEnglish
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    2 months ago

    The Intel CEO had always come from engineering fab. This kept the high level decisions made by somebody who understood the product and how it was made.

    Then CEO and the head of fab was caught sexually harassing employees. They were both shown the door. So no CEO and the guy who was next in line were gone. They needed the number 2 in fab to take over fab to keep production up.

    So the board decided to make the CFO the new CEO. A guy who had a MBA was running a chip company that had only been run by engines.

    Profits went up for a while but then Intel struggled to maintain innovation and properly upgraded fab and chip design. Add the increasing skill of rivals and a increase in importance in chips other then server and desktop. which were the only areas Intel was king. It’s a recipe for failure.

    • polle@feddit.orgEnglish
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      2 months ago

      Sounds exactly what like what you will expect if a finance guy takes over a company. Rip.

  • darvocet@infosec.pubEnglish
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    2 months ago

    Speculation on my part but i think it’s the same thing as Boeing really. They didn’t have any real competition for so long and they started cutting out the engineers who innovated to improve stock price.

    • magic_lobster_party@kbin.run
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      2 months ago

      Nokia is another example. They were leading in mobile tech, only to struggle keeping up with smart phones.

      They’re so heavily optimized in old tech they can’t adapt to new tech.

      • Teknikal@lemm.eeEnglish
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        2 months ago

        I’d say they just didn’t go touchscreen in time I remember a friend having the first iPhone and another had a Nokia n95 The N95 was way ahead in features and technology but people wowed over the Apple screen…

        • magic_lobster_party@kbin.run
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          2 months ago

          They also did other weird decisions like focusing on Symbian, and then move all their attention on Windows. Nobody cared about Symbian or Windows. Everything was on Android and iOS.

          They were too slow to adapt to the new market, and when they adapted they did so in the wrong way.

  • gravitas_deficiency@sh.itjust.worksEnglish
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    2 months ago

    They focused on cost cutting and stock buybacks instead of, you know, the extremely advanced R&D that making new integrated circuit technologies and incorporating them into products at scale requires.

    • iopq@lemmy.worldEnglish
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      2 months ago

      AMD is rumored to move to Samsung for its GPUs. Samsung basically caught up to TSMC and it’s offering good deals on its advanced nodes.

  • ikidd@lemmy.worldEnglish
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    2 months ago

    When they didn’t have a stranglehold on the market anymore because they let their R&D falter, they didn’t have the ability to do things like make ECC ram a “server” motherboard thing and artificially jack prices.

    Intel has been a shit company for years now. They’re paying the price of hubris and everyone that’s been taken for a ride by them is leaving now that there’s choices.

  • TheDarksteel94@sopuli.xyzEnglish
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    2 months ago

    Honestly, I’m looking forward to see what Intel can do in the dedicated GPU market. Their last card was certainly quite exciting in it’s own way.

  • Bell@lemmy.worldEnglish
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    2 months ago

    No mention of mobile? Intel completely missed the chance to make the CPUs we are all holding in our hands.

    • Wispy2891@lemmy.worldEnglish
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      2 months ago

      They had a line of mobile arm based processors that were powering windows mobile devices but they sold that division to Marvell 6 months before the launch of the iPhone, in order to focus on x86

      • bitflag@lemmy.worldEnglish
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        2 months ago

        Intel has also made a similar blunder by trying GPUs and abandoning them (they got there early with the i740, then Larrabee). Saving a few dollars by gutting emerging products line has cost them billions