One of Intel’s strengths in roughly the 90s and 00s was the tight coupling between its strong fab technology and its strong design team. This this was the mode

One of Intel’s strengths in roughly the 90s and 00s was the tight coupling between its strong fab technology and its strong design team. This this was the model for Motorola, IBM, TI and everybody else. But by now both sides are suffering, and management has to try to fix them both simultaneously. As with other industries, semiconductors evolved as an integrated industry. But now both parts are fiendishly complex, and rather than integration being a strength, it’s more like a conglomerate. You can’t just move your design from one process to another so a spun out fab would start with mostly Intel jobs, just as AMD, IBM etc did when they sold off their fabs. But the standalone fab would possibly find it easier to hire customer-oriented people and change its culture, and the two parts could concentrate better on their needs. It would give the shareholders a better chance too. It’s not a great solution, but the current situation is dire.