Intel

Intel’s foundry ambitions face disruption as three key manufacturing executives are reportedly retiring: Kaizad Mistry, Ryan Russell, and Gary Patton. Mistry and Russell oversaw process technology development, while Patton focused on design platform solutions for foundry clients. These departures create a knowledge gap in Intel’s manufacturing roadmap, crucial for attracting external customers to Intel Foundry Services (IFS). Intel is also reportedly reviewing its technology development structure, potentially streamlining capacity planning and reducing engineering headcount.

Intel plans to spin off its Network and Edge (NEX) business unit, a division developing network and communication chips with $5.8 billion in revenue in 2024. This strategic realignment signifies a pullback from competing with Nvidia in the communication chip market. NEX, with thousands of employees globally, including 400 in Israel, will become an independent entity focused on silicon solutions for communications, networking, and Ethernet connectivity. The move signals Intel abandoning its pursuit of a vertically integrated offering of AI hardware and software, similar to Nvidia’s model with Mellanox.

Mobileye (MBLY) priced Intel’s secondary offering of 50 million Class A shares at $16.50 each, with underwriters holding a 30-day option for 7.5 million additional shares. The offering, closing July 11, 2025, requires Mobileye’s concurrent repurchase of 6.23 million shares from Intel, approved by its board. Post-closing, Intel intends to convert 50 million Class B shares to Class A to expand the public float but will retain ownership. Mobileye will not sell shares or receive proceeds. Goldman Sachs and BofA lead the underwriting, supported by major banks. The offering is subject to SEC registration and standard closing conditions.

Intel, under CEO Pat Gelsinger, is reportedly shifting its strategy away from in-house glass substrate development towards external sourcing. This move aims to accelerate product innovation and streamline operations by focusing resources on core product lines. The change signifies a more pragmatic approach, prioritizing faster adoption of mature solutions through partnerships over pioneering new technologies independently. This strategic pivot is part of broader reforms to optimize business operations and enhance the company’s competitiveness.

To boost profitability, Intel is implementing a strict project approval process. Intel’s new policy mandates a minimum 50% gross margin for new projects, as stated by CEO Michelle Holthaus. Projects not meeting this threshold will be denied funding and resources. This strategic shift, driven by CEO Pat Gelsinger, is aimed at improving Intel’s margins, which currently stand at 31.67% after declining below 50% in Q2 2022.

SoftBank and Intel are partnering to develop an AI-specific memory chip, Saimemory, aiming to reduce AI computing power consumption by up to 50%. This stacked DRAM chip, utilizing an innovative wiring architecture, promises improved energy efficiency and supports sustainable AI data centers. With an estimated $64 million investment, a prototype is expected within two years, targeting commercial deployment in the late 2020s, starting with SoftBank’s AI data centers. Other research institutions and the government are expected to offer support as the project progresses.

Intel skipped its traditional Computex 2025 keynote to celebrate 40 years of collaboration with Taiwan, a strategic partner vital to global semiconductor innovation. CEO Lip-Bu Tan shared his career transformation through lessons learned in Taiwan, emphasizing cultural adaptability and relationship-driven business. He highlighted Intel’s legacy of nurturing 30 local startups via five venture funds and outlined a collaborative foundry strategy prioritizing partnerships over control, aligning with Taiwan’s evolving role as a key contributor to next-generation computing technologies.

Acer launches six Aspire AI laptops optimized for Windows 11 Copilot+, featuring Qualcomm, Intel, and AMD processors with AI-driven tools like AcerSense, LiveArt 2.0, and PurifiedVoice 2.0. Designed for hybrid workers, they offer portability (sub-16mm aluminum chassis), up to 28-hour battery life on Snapdragon models, EPEAT Gold certification, and 100% recyclable packaging. Prices start at €899 (Snapdragon) to €1,099 (Intel), targeting consumers and enterprises while facing challenges in software compatibility and competition, including NVIDIA’s advancements. Availability varies by region, with EMEA first in June 2025 and Australia in Q3.