They are buying time that's all. They need to work on being lean. Matter of time before more layoffs and consolidations occur. Especially as the H1-B pool falls away. Cheaper labor pool is going away.
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@1sok - Same old troll with the same old $hit
Things are ugly and getting uglier and more ACTs to come!
x86 client continues to drop. So the base volume to amortize fabs and RD is shrinking very fast. Has been for years while Intel and TMG and rest of the place spent money like drunken sailors.
Server is growing but not fast enough to feed the wasteful beast.
AMD is back and that will force price drops on both client and server further crimping margins.
Billions spent on IoT, AI, Foundry, memory, Modems and memory don't come close to the gross margin of x86.
Manufacturing cost of 14nm not as good as 22nm and 10nm will really be busted. Slipping schedule helps but this and next year depreciation will need to be triggered and costs will be eye popping as some are already getting wind of the stink!
LOL
And to make matters worse McD's is going to kiosks to eliminate cashiers! OMG
The humanity! Hahahaha
Problem is company still makes a lot of money. The stock is currently downgraded. Investors are losing confidence especially in the data center. Intel banked on double digit profits which haven't come to fruition.
Classic behaviour that leads to complete halts on spending and layoffs. You never see it coming. They will hit the breaks and that will stop. Just a matter of when.
If you look at the way we are still spending recklessly, something doesn't seem to connect. Multiple groups throwing loads of $ everywhere with lots of unnecessary travelling. Looking at groups like MIT, travelling is at an all time high, have been for awhile. Sometimes I wonder does management have some secret product that they are not revealing that can bring in loads of revenue! The way some groups are spending, where's the accountability!
They will need to make up the $ 7 billion thy are going to use to finish the factory in AZ. Where do you think that will come from? Investors? Or reducing the workforce and closing small sites to reduce capex? Which investors take note of.