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Intel should never have tried to be a contract chipmaker

by on10 December 2024


TSMC founder says it would have been better at AI

The founder of Taiwan Semiconductor Manufacturing Co said that Intel should have focused on artificial intelligence rather than trying to become a contract chipmaker.

At an event to launch his autobiography, Morris Chang (pictured) said he did not know why Pat [Kicking] Gelsinger left Intel but that the US firm sought a new strategy and CEO.

For those who came in late, Pat [kicking] Gelsinger “retired” earlier this month after directors felt his costly and ambitious plan to turn Intel around was not working, and progress was slow.

Gelsinger attempted to restore the company's lead in making the fastest and smallest computer chips for other companies, a crown it lost to TSMC - the world's largest chip contract manufacturer.

"I don't know why Pat resigned. I don't know if his strategy was bad or didn't execute it well...Compared with AI, he seemed to focus more on becoming a foundry. Of course, now it seems that (Gelsinger) should have focused on AI," Chang said.

"They currently have neither a new strategy nor a new CEO. Finding both is very difficult," he added.

Setting lofty ambitions for manufacturing and AI capabilities among major clients, Intel lost or cancelled contracts under his watch and offended TSMC. Chang called Gelsinger "a bit rude.”

Chang released his memoir last month, which recounts his life from 1964 to 2018. It includes some of TSMC's dealings with major customers such as Apple and Qualcomm and how Intel turned down an invitation to invest in TSMC in the 1980s before becoming a key customer.

 

Last modified on 10 December 2024
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