Intel’s stock dropped around 30% overnight, shaving some $39 billion from the company’s market capitalization since rumors of a pending layoff first emerged. The devastating results come after the chip giant reported a loss for the second quarter, complained about yield issues with the Meteor Lake CPU, provided a modest business outlook for the next few quarters, and announced plans to lay off 15,000 people worldwide.
When the NYSE closed on July 31, Intel’s market capitalization was $130.86 billion. Then, a report about Intel’s massive layoffs was published, and the company’s market capitalization dropped sharply to $123.96 billion on August 1. Following Intel’s financial report yesterday, the company’s capitalization dropped to $91.86 billion. Essentially, Intel has lost half of its capitalization since January. As of now, Intel’s market value is a fraction of Nvidia’s worth and less than half of AMD’s.
As Intel’s actions look rather desperate, analysts believe that Intel’s challenges are existential. “Intel’s issues are now approaching the existential,” Stacy Rasgon, an analyst with Bernstein, told Reuters.
This will happen to the whole tech industry. Once people realise that Moores law is dead. Intel is just the beginning and „A.I.“ will not safe them.
If I got a snickers every time I heard moore law is dead I’d be obese.
Any moment now, any moment.
As every gambler knows: A trend is your friend.
And we live in a casino economy.
It is dead.
The only reason it seems like it’s not is because AMD server CPUs are just getting physically larger and larger
Check out 3D stacked ram for example. Moores law isn’t about some size measure.
And now I have to eat another snickers…
The effort required to keep increasing resistors in a chip is just too high at some point. And the power required to run all the chips is becoming unsustainable. Besides that, hardware companies are way over valued if you look at earnings / market cap
If you can tell what the person means, there’s no reason to publicly correct their spelling or grammar.
Hard disagree. Common mistakes ruin grammar because other people will adopt these. And when written language becomes ambiguous due to people not using proper grammar, that’s a very important foundation of “words have no meaning” fuzziness employed by populists, and in effect dumbs down people.
