Intel Needs Some Big Wins Over the Next Year

Core Insights - Intel is facing significant challenges in regaining market share lost to AMD in both PC and server CPU markets, alongside struggles in its foundry business despite substantial investments [1][3] - The company has entered a deal with the U.S. government, which could provide financial support but also introduces risks [2] - The upcoming year is critical for Intel to recover its market position and establish a sustainable foundry business [3] PC Business - Intel remains the leader in the PC CPU market, but its market share has declined from over 90% in 2016 to less than 70% today in the desktop CPU segment [5] - Manufacturing delays have hindered Intel's ability to compete effectively, allowing AMD to leverage superior technology [6] - Upcoming products, Panther Lake and Nova Lake, are expected to improve performance and efficiency, but their success is contingent on resolving yield issues with the Intel 18A process [8][9] Server Business - Intel's server CPU market has also been impacted by manufacturing delays, resulting in a loss of market share to AMD, which has grown to nearly 30% [10] - The Granite Rapids CPU is a step towards regaining competitiveness, but challenges remain in certain market areas [11] Foundry Business - Intel has secured some external business for its foundry but has yet to attract major customers for the Intel 18A process [12] - The upcoming Intel 14A process is crucial for the company, as it needs to secure significant external customers to sustain its manufacturing operations [13][14] - The success of the foundry business is essential for Intel to avoid potential restructuring, emphasizing the need for customer wins leading up to the Intel 14A launch [15]