Intel GPU Business in a $3.5 Billion Hole, Jon Peddie Recommends Sell or Kill

[Palladium]

Then sit back and don't worry about. Intel will do their thing.

Investments do not turn a profit overnight. Ever. After the R&D is done, the building and marketing begins.

I love all the people that fail to understand a product launch of this scale takes time, money and effort. The Core Duo line of CPU's were amazing but they didn't take the world by storm. It was a process that took over 3 years before launch and even then it took over 6 months to build up. Ryzen was no different, neither was the RTX line of GPU's. It ALWAYS goes this way.

Surprise, capitalists with short-termism "ANYTHING FOR A PROFIT NOW" brains are bad economists.

 

[Vayra86]

Reminds me of optane.

Yeah and Optane did have a unique selling point even.

 

[Dirt Chip]

Yeah and Optane did have a unique selling point even.

You treat Intel's investment in pioneering tech as a bad thing and dn it's odd cus, well, this is their business...
They have the capital to do all those experiment and if you are in favor of tech advencment there is no acutel reason no to support them (not by buying stuff you dont need, just by word) for trying even if they fail.

 

[Vayra86]

You treat Intel's investment in pioneering tech as a bad thing and dn it's odd cus, well, this is their business...
They have the capital to do all those experiment and if you are in favor of tech advencment there is no acutel reason no to support them (not by buying stuff you dont need, just by word) for trying even if they fail.

If Intel success or failure relies on moral/popular support and not its own merit, we're doing it wrong as customers and as tech enthusiasts IMHO.

 

[regs]

I blame Raja for it. He was a failure at AMD, and now he's a failure at Intel. It's obvious he doesn't belong in an executive position. He couldn't organize a kegger in a brewery or an orgy in a whorehouse let alone a graphics card division.

Navi was made under his watch. How is that a failure? And here main to blame s TSMC for years of delaying N6.

 

[Jism]

Navi was made under his watch.

The cards prior was under his watch too. The problem was they created computational based chips on which the ones that did'nt meet Quality standards where sold as a graphics card chip.

We see the same happening now at Intel. Compute based tiles or whatever the F they are doing, the ones not meeting the computational quality standards are being resold as Arc's. Its just one line served for 2.

The downside of putting computational cards into graphics consumer cards is that, often the power is higher, the performance comes with quite some overhead and its behind the competition.

AMD used todo that (Vega > Instinct) but they are actually making graphics vs computational based cards, RDNA / CDNA. The difference is pretty big if i can say.

 

[Mussels]

It's a short term loss for long term dominance.
Any tech and IP they develop will be used in their IGPs, and they could end up in the mobile and console worlds too.

Nothing stops them from being the PS6 hardware, if they sort the kinks out

 

[medi01]

Given the bribing of Intel I don't think it would've helped to have a better CPU, Athlons were way better than Pentium 4 yet AMD struggled to gain market share.

Indeed. AMD simply was not given a chance to benefit from having superior product (frustratingly, similar situation is still quite visible in OEM space).

And on the opposite, GPU business is what had saved AMD. (the semi-custom business with major console manufacturers, for instance)


I still cannot wrap my hand about amazing comeback. I get the perfect storm of new design from AMD coming in parallel with Intel's new fab node underdelivering, but... heck, what a little miracle had happened.

Surprise, capitalists with short-termism "ANYTHING FOR A PROFIT NOW" brains are bad economists.

I think it is more nuanced than that and it is not necessarily caused by not understanding what is going on.

There are people who own stock who could not give a flying... fruit about elusive long term prospect. They've bought stock here and now and need Intel to deliver here and now.

CEOs, on the other hand, cannot be sure they will even last for long enough for good strategic decisions to pay off.

So at the end of the day we have situation when key stakeholders are only interested in short term, at best, mid term results.

 

[ThrashZone]

Hi,
Best thing about hitting rock bottom is they can only go up from here right or can it get worse

 

[eidairaman1]

Indeed. AMD simply was not given a chance to benefit from having superior product (frustratingly, similar situation is still quite visible in OEM space).

And on the opposite, GPU business is what had saved AMD. (the semi-custom business with major console manufacturers, for instance)


I still cannot wrap my hand about amazing comeback. I get the perfect storm of new design from AMD coming in parallel with Intel's new fab node underdelivering, but... heck, what a little miracle had happened.


I think it is more nuanced than that and it is not necessarily caused by not understanding what is going on.

There are people who own stock who could not give a flying... fruit about elusive long term prospect. They've bought stock here and now and need Intel to deliver here and now.

CEOs, on the other hand, cannot be sure they will even last for long enough for good strategic decisions to pay off.

So at the end of the day we have situation when key stakeholders are only interested in short term, at best, mid term results.

AMD already has a superior product and people only ever hear of nvidia, intel.

 

[Bomby569]

yes, invest all the money, and sell before it gives you any money. A financial genius this one

 

[DeathtoGnomes]

yes, invest all the money, and sell before it gives you any money. A financial genius this one

who exactly is the financial genius? Asking for a friend...

 

[MikeMurphy]

I really lost it at 'more secure'

It's hard probe security on custom ARM64 chips when you have none to test with.