Tuesday, Jan 19, 2021, 15:20 Economy

New Intel CEO's Statement about Apple and the M1: We Have to Be Better than The Lifestyle Company

As recently reported this week, Intel's changing up their leadership again after 2 years. In the middle of February, Bob Swan will hand over the reins to Pat Gelsinger, who's giving up his position as CEO of VMWare to make a return to the company after 12 years of absence. Intel is staged to be led by the a specialist in semiconductor development, and also their former Chief Technology Officer, in hopes that he can change the company's course. In his first interal announcement, Gelsinger clearly mentions Apple, though not by name, saying, "We have to deliver better products to the PC ecosystem than any possible thing that a lifestyle company in Cupertino (can)".

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The Motto: To Be Better than Apple
The fact that Apple left their partnership with Intel and started producing their own chips is more than just a financial embarassment to Intel. It opened the entire tech world's eyes to what was possible – and how Intel was currently falling behind. This is the reason that Gelsinger states that Intel "has to be better than Apple", the company has to redeem themselves. The New CEO describes the backbone of Intel as manufacturing, manufacturing processes, and development of semiconductors – all disciplines in which Intel once excelled, but has recently sorely fallen behind in.

Still No Further Details Known
How exactly Gelsinger plans to execute his race to catch up isn't known. Market analysts foresee Intel seeking help from partners, possibly seeking commitments with TSMC or even Samsung. For years, Intel has failed to execute their planned structural downsizing, and it's likely that external parties could improve the situation. It's still a long road though, the earliest point at which TSMC production for Intel could start would be the year after next. Other than that, licensing of manufacturing technology could also be a road to improvement for Intel.

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