Intel CEO Gelsinger says he respects 'skepticism' from investors as chipmaker's struggles persist

Core Viewpoint - Intel is facing significant challenges following a disappointing earnings report, leading to a substantial decline in stock price and investor skepticism, but the CEO expresses optimism about future products and strategies [1][2]. Group 1: Financial Performance - Intel's stock price dropped 26% after the latest quarterly earnings report, marking its worst day on Wall Street in over 50 years, and the shares are down 59% year-to-date, trading near their lowest levels in over a decade [1]. - In the latest quarter, Intel reported a net loss of $1.61 billion, a stark contrast to the net income of $1.48 billion from the same period last year, with revenue missing estimates [3]. Group 2: Strategic Initiatives - The company is investing billions in building out its chip fabrication business while losing market share in its core PC and data center segments, and it is struggling to make progress in artificial intelligence [2]. - Intel plans to launch a new product, Lunar Lake, which is touted as "the most compelling AI PC product ever," indicating a focus on innovation in the AI space [2]. Group 3: Corporate Governance and Investor Relations - Intel has engaged advisors, including Morgan Stanley, to help manage scrutiny from activist investors, although the CEO did not comment on this issue or the recent departure of board member Lip-Bu Tan [3]. - The company announced layoffs of 15,000 employees and is exploring cuts in its portfolio, with the CEO believing these efforts will yield positive results [3].