#ibm2

There is no 'final' target. Foundry losses will cause lowered targets for foundry over time, until some external volume happens, or enough excess fab capacity is sold to other foundries to make the remaining fabs at least break even.

If Products sell then that helps slow down the reductions in ProdCo, but like IFS, ProdCo had an IDM1.0 strategy of maintaining excess capacity at all times. LBT is working to eliminate that persistent level of excess, so targets could be lowered even as business picks up.

Ultimately the company may settle out in the 60k area, after some fab and product group sale and the shut down of groups which can not be sold.

#IBM2.0

TSMC likely will take a large stake in the company.

This will offset what appears to be the partial privatization of Intel by the mega cap tech companies, which will eventually lead to Intel becoming a second source for all of them.

LBT has mentioned what it takes to increase the Intel market cap to $1T, which seems high but possible if he is able to create this new corporate structure.

TSMC can offset the production loss by being one of the owners.

In the end there may be no need to spin off IFS, if 49% of the company ends up owned by the customers (and TSMC, Softbank, US Govt). Even if IFS is split off, it won't mean that much of a difference at that point. It will just enable both parts of the company to maximize market valuation, similar to what happened when other conglomerates were broken up (AT&T, GE, IBM).

#IBM2.0

I doubt there will be any voluntary packages going forward, because that was d-mb policy and this is not IDM1.0, but IBM2.0

#YaShouldaTakenThePackage
#IBM2.0