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Do you think the US government also encouraged Amazon to throw Intel Foundry a bone and give them some business?
by osnium123 2y ago
Do you think the US government also encouraged Amazon to throw Intel Foundry a bone and give them some business?
- UberFly 2y agoJust guessing but probably more something like Amazon striking a deal with Intel while they're desperate.
- ethbr1 2y agoWhen you're a customer big enough to be a press release and logo, and the seller is in need, you can be pretty aggressive with terms. It'll be curious how the financials on this look. I assume with Intel breaking foundry out into a subsidiary, they'll also break out revenue, and if this is their marque first big customers, it should show up in the numbers.
- InDubioProRubio 2y agoI guess its more of a trading in of outstanding old favours - all those trampolines back then where expensive, which we could have known if speculative execution would have been performed, but then again that 20 % speed plus would costs us in security.
- shrubble 2y agoIf Amazon supplies a lot of Federal or Military there might be a requirement that certain VMs run on CPUs that are made in the USA or that have very stringent supply chain controls.
- throwup238 2y agoIntel's main fabs are in Arizona. Their cutting edge CPUs are already made in the USA, no need for custom chips.
- ksec 2y ago>Their cutting edge CPUs On Server ( for now ). Cutting edge laptop is no longer on Intel but TSMC.
- alephnerd 2y agoConsumer desktop processor fabrication is commodified in no small part due to TSMC, along with the extremely low margins. There's no reason for Intel to target that money pit when there are higher value options like Server processors. The bleeding edge nodes built in Chandler have much better uses. This is part of the longer term IDM 2.0 strategy who's endgame was always going to be a split or potentially even spinoff of Intel Foundary services from Intel Chip Design services - their goals are just too diametrically opposed and undermining each other.
- shrubble 2y agoYes but where are Amazon’s chips made, currently?
- tonyhart7 2y agooh dont get the idea wrong, they both works with amd and intel knowing Amazon its not US goverment to force them but Amazon can make the 2 of them outbidding each other in more desperate times
- ZiiS 2y agoMore importantly, they heavily push ARM and are probably so desperate for NVIDIA silicon they see anything they can unload from TMSC as a win.
- sillywalk 2y agoMaybe. "U.S. Govt pushes Nvidia and Apple to use Intel's foundries — Department of Commerce Secretary Raimondo makes appeal for US-based chip production" https://www.tomshardware.com/tech-industry/us-govt-pushes-nvidia-and-apple-to-use-intels-foundries-department-of-commerce-secretary-raimondo-makes-appeal-for-us-based-chip-production https://www.tomshardware.com/tech-industry/us-govt-pushes-nv...
- philistine 2y agoObviously, but not in the way you think. The government made billions available to US foundries, giving Intel enough monetary leeway to be competitive with Amazon’s suppliers.