Posted 4/3/2024, 2:12:14 PM
Intel Foundry Woes Deepen as Losses Hit $7B, Trails Far Behind TSMC's Dominance
- Intel shares fell 7% as losses at its foundry business ballooned to $7B in 2023, showing a wide gap vs rival TSMC's profitability
- Intel expects foundry losses to peak in 2024 before breaking even by 2027; TSMC had 53% foundry margin in Q4 2023
- Intel's foundry revenue was $18.9B in 2023, much less than TSMC's $19.5B in just Q4 2023
- Intel plans to invest $100B in new US plants but faces geographic and talent disadvantages vs TSMC
- Intel aims for 40% foundry margin by 2030, still trailing TSMC's current 53% margin