Intel wants to recover Apple as a customer and sees “unacceptable” that the semiconductor industry depends too much on Asia: the new CEO lays the foundations for the future of the company
Intel CEO Pat Gelsinger made known the master lines you want to continue during your tenure. Now in a BBC interview, ensures that wants to get Apple back as a customer. Not only that, it ensures that semiconductor industry relies too much on manufacturing in Asia. Something that, in his words, is not “acceptable.”
To achieve the former and avoid the latter, Gelsinger announced the creation of a new division, called Intel Foundry Services (IFS), which will allow the company to make chips for other companies.
Stop relying on Asia
“Having 80% of all supply in Asia simply not an acceptable way for the world to have a more critical view of technology“Gelsinger said, adding that the challenge is to use IFS to reduce this Asian dependency.
“Every smartphone, every telemedicine, every remote worker, every remote education, every autonomous vehicle, every aspect of humanity is becoming more digital. And when it goes digital, it works with semiconductors, ”he reflects, adding that digital is at the heart of all aspects of human existence in the future. “The world needs a more balanced supply chain”, sentence, adding that Intel is taking its own steps to achieve it.
The CEO of Intel has ensured that his intention is to build a new chip factory in Europe, without determining which country could be chosen. He did not want to go into details, limiting himself to saying that “these are extraordinary capital investments” but that “they are also extraordinary generators of employment.”
It should be remembered that the European Union also has its own plans to be stronger in semiconductor manufacturing and rely less on the United States and Asia and that China has planned to invest 47,000 million dollars to become more independent in this industry.
Wanting Apple as a customer
In principle, this division will manufacture x86, Arm and RISC-V core chips for companies such as IBM, Qualcomm, Microsoft and Google. A list of names that Gelsinger wants to add to Apple, who until not long ago used Intel processors in their machines and who has decided to develop its own under ARM licenses. These processors are designed by Apple but manufactured by Taiwan Semiconductor Manufacturing Company (TSMC).
Why do you want this client back? Among other things because “it is one of the largest users of advanced semiconductor capabilities”, he assures in this interview.
However, he knows that the road is not going to be easy. “I have to earn that business ”, assures. In its favor is the fact that “everyone wants multiple providers.”
The complicated relationship between Intel and Apple
Apple’s decision to ditch Intel processors ended a 15-year alliance between the two companies. The chipmaker’s response was to run a marketing campaign against Apple. According to information from Apple Insider, Gelsinger said, in an internal email to employees, that Apple was a “lifestyle company in Cupertino.”
In addition, Intel and Apple are still competitors in the PC market. “We have great respect for Apple as a company. They are innovative. They have done incredible things in the industry. Tim Cook is a great leader ”, explains Gelsinger, who advances that“ we will be aggressive competitors and we will seek to revitalize the PC ecosystem ”.
“Let’s have fun. We will compete aggressively. And I’m also going to take care of my clients ”, he says.