Today Intel’s CEO Pat Gelsinger has outlined two key changes to Intel policy : one derived from Intel’s plans to offer foundry services to external partners, …
Today Intel’s CEO Pat Gelsinger has outlined two key changes to Intel policy: one derived from Intel’s plans to offer foundry services to external partners, and the other from Intel starting to outsource its core compute product families in order to get the best product at a given time. Not only is Intel set to offer x86 core IP to customers through its new Intel Foundry Services, but also Intel is looking to creating leadership compute products on external nodes. These are complete 180º turns from how Intel has previously operated. For the last 20-25 years, Intel has been steadfast in keeping the crown jewels of its product design firmly inside its very protective walls. Over the years, Intel’s x86 designs have mostly led the market in leadership performance and power (except for Pentium 4 and Rocket Lake), and limiting use/production for Intel-only use has enabled the company to improve that design with laser focus, manufacturing not-withstanding. Keeping the cores for internal use only means that neither customers nor competitors were able to see the raw design specifications, and for a long time this has enabled Intel to keep key features, such as its branch predictors, away from all but the most prying eyes. In a twist to the norm, Intel is now set to dissolve those walls keeping its x86 cores it itself. First up is Intel’s Foundry Services, a second crack at offering external customers the ability to use Intel’s manufacturing facilities. Idle fabs are costly, and so with IFS, Intel wants to enable a revenue stream while at the time meeting global demand for semiconductors, especially as it pertains to local supply chain security and migrating the world’s semiconductor reliance away from Asia more into the USA and EU. IFS will stand as a separate business unit inside Intel. As part of IFS, Intel will both offer raw manufacturing services, similar to a standard foundry like TSMC and Samsung, as well as its portfolio of IP to customers. This is a Big Deal™.
