from the golden-parachutes-are-not-for-enginners dept.
Intel is revamping its technology leadership in a bid to turnaround its manufacturing unit after announcing delays in its 7nm processes.
Last week, Intel said on its second quarter earnings report that its 7nm products would be delayed. Rival AMD is already on 7nm as is TSMC. Since Intel's earnings report and market cap hit, analysts have been speculating that the chip giant may leave manufacturing.
In other words, Intel needed to revamp its technology organization. Under Monday's reorg, Dr. Ann Kelleher will lead technology development. She had led Intel manufacturing. Kelleher will focus on developing 7nm and 5nm processes. Murthy Renduchintala, Intel's chief engineering officer, will depart Aug. 3.
Intel is also separating its Technology, Systems Architecture and Client Group unit into teams focused on technology development, manufacturing and operations, design engineering, architecture, software and graphics and supply chain.
Safe to say Intel will be best positioned to fire 3 executives at the next slippage - I guess that may make the stock rebound faster than firing a single one.
Intel's revenue was up 20 percent in its Q2 2020 earnings report, but its 7nm processors have been delayed by at least six months because production has fallen a year behind. The subsequent decline in share price resulted in AMD's stock jumping above its rival's for the first time in around 15 years.
On Friday, the Hagens Berman law firm put out a call to Intel investors who suffered significant losses to contact the company for a possible class-action suit. It also seeks people who may be able to assist in its investigation of possible securities fraud.
"Beginning at the Company's 2019 annual investor conference, Intel continuously represented that it would start shipping its first 7nm chips in 2021. The news was well-received since the Company claimed the 7nm chip would deliver double the area efficiency of its 10nm chips. Moreover, in the wake of severe delays derailing its 10nm chips, Intel assuaged concerns by stating, "We've made time-to-market the priority," and repeatedly affirmed the 7nm chip's timetable," states Hagens Berman.
Also at Guru3D.
In a blunt video posted late Thursday evening, outspoken former Intel principal engineer Francois Pidnoel offered his advice on how to "fix" Intel CPUs, criticized current leadership for not being engineers, said AVX512 was a misadventure, and declared that it's only luck AMD hasn't grabbed more market share.
"First, Intel is really out of focus," Piednoel said in the nearly hour-long video presentation. "The leaders of Intel today are not engineers, they are not people who understand what to design to the market."
[...] Pidnoel flat-out dismissed including AVX512 in consumer chips as a mistake. "You had Skylake and Skylake X for a reason," Piednoel said. "AVX512 is designed for a race of throughput that is lost to the GPU already. There's two ways to get throughput. One is to get the throughput is by having larger vectors to your core, and the other way is to have more cores."
[...] "Intel is very lucky AMD cannot get the volume, to be able to compete," Piednoel. "If they were getting volume, the price difference would definitely cost Intel market share a lot more than what they are losing right now."
Related: AVX-512: A "Hidden Gem"?
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Intel Engineering Chief Out After 7nm Product Delays
Intel Faces Class-Action Lawsuit Over "7nm" Delays