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> this is all after how much Intel has benefitted from the CHIPS act From what I've read they haven't actually received that $8.5B yet. The other thing to cons
by UncleOxidant 2y ago
> this is all after how much Intel has benefitted from the CHIPS act
From what I've read they haven't actually received that $8.5B yet. The other thing to consider is that they're they're needing to spend $100B to build fabs that are competitive with TSMC - and they need to do it kind of all at once here because they underinvested in the 15 years prior due to bad management. $8.5B is kind of a drop in the bucket. $100B is a huge amount for a private company to spend - possibly the largest CAPEX ever. And the time from when shovels hit the dirt till the time a fab is in operation is about 5 years.
Meanwhile Apple is over there sitting on $160B in cash wondering what to do with it. And Apple is the one facing huge geopolitical risk if something happens to Taiwan. It seems like a shotgun wedding between Apple and Intel could be beneficial for both.
- pjc50 2y agoApple built their own chips to get away from Intel. They might start thinking about some sort of joint venture to get a TSMC-US working, but they have no interest in working with Intel.
- UncleOxidant 2y agoApple does not build their own chips. TSMC builds them for them. Apple designs chips that are fabbed by TSMC. Apple supplies the recipe, TSMC supplies the ovens. > they have no interest in working with Intel They do if they would like to have a safe, domestic supplier insulated from geopolitical instability. Also in the scenario I mention (some sort of merger or acquisition) they'd be owning Intel and driving it in (hopefully) a beneficial direction.