Archive · 7 Nov 2025

Intel Faces Existential Crisis, May Need to Spin Off Design Arm

Intel Faces Existential Crisis, May Need to Spin Off Design Arm

Imagine Intel was like a famous chef who used to make the best meals by growing their own ingredients and cooking them in their own special kitchen.

For a long time, they were the best at making computer chips, which are like the brains of computers and phones.

But over the years, Intel started having trouble growing its own ingredients and cooking things just right.

Other chefs, like TSMC, got much better at cooking and started making the tastiest chips.

Even though Intel still has its own kitchen, it's not as good as it used to be.

Other big companies like Amazon and Google started making their own recipes and using other kitchens too.

Now, Intel's leader is thinking maybe it's better to let someone else use their kitchen, and Intel should just focus on creating new recipes.

This way, the kitchen could become very busy and successful again, even if it's not cooking Intel's own recipes.

This is a big decision because Intel used to be great at doing everything, but now it might have to choose to do just one thing really well to survive.

Sources