They Went Haywire on Investments
$Intel(INTC.US$ $Taiwan Semiconductor(TSM.US$ $Advanced Micro Devices(AMD.US$ $NVIDIA(NVDA.US$ $Apple(AAPL.US$ Intel is going, simply put, full retard on investments. In 2022, they added $33 billion to the infrastructure production and R&D of semiconductors. They realized that the chip shortage would not be alleviated anytime soon. Chip demand will only rise as more industries, particularly in the developing world, go digital.
With the current tensions between the United States and China over the tiny island of Taiwan, the future of the most advanced manufacturing facility, TSMC, is at great risk. And anyone who knows anything about TSMC knows that they have a foot in both the US and China.
Intel is a 100% US company. With the Chips act that is bound to jumpstart the semiconductor industry in the US, Intel looks to have a very bright future. It’s well known that they have strong US Governmental ties, and are absolutely on their way to getting a large chunk of the US Chips act, which has a total value of 50 Billion Dollars.
Even more, the EU is also investing 43 Billion dollars in the Chips act, to strengthen the production of semiconductors on European soil. I’ll give you one try to guess who is also building chip manufacturing facilities on EU territory. Come on, it’s an easy one — Intel!
Now, you may think about AMD, Nvidia even Apple, and other great “chip” stocks. But guess where all of them are manufacturing their chips? Another guessing game, come on, you can do it. They all manufacture their chips in Taiwan with TSMC. Intel is among the few that manufacture its own chips.
Even if Intel’s technology is not as advanced as TSMC’s, Intel will catch up to them in the near future. That‘s because it’s impossible to produce chips that have transistors under 3 nanometers. The laws of Physics don’t allow it. That means that Intel will build a lot of manufacturing facilities while also progressing with its technological development — catching up to TSMC.
When that happens, AMD, Nvidia, Apple, and everyone else who relies on TSMC to build their chips will have to put their tails between their legs and beg Intel to manufacture their chips.
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mommymoney : I see I see
High Profit Low Loss : Haha, how soon will it takes intel to achieve it?
Carlosoo OP mommymoney : Let's look forward to it together!
Carlosoo OP High Profit Low Loss : It's hard to say, maybe soon or maybe very slowly.
Po Hsu : This article is full of bullshit.
Total waste of time reading it.