Following Intel's disappointing financial results, CEO Pat Gelsinger addressed Bloomberg and Yahoo Finance, openly criticizing the Biden administration for delays in CHIPS and Science Act subsidies. He further condemned recent media speculation on potential Intel acquisitions as "irresponsible rumors," emphasizing the company's commitment to independence.
During a Q&A session at Intel's companywide meeting, Gelsinger responded to Intel employees' concerns, including questions about whether the US election outcome might impact Intel's CHIPS Act subsidies. He maintained a reassuring stance regarding the company's strategic direction amid political changes.
Gelsinger highlighted that the CHIPS Act gained bipartisan Congressional support, reflecting the importance of Intel, the only major US-based chip manufacturer, in strengthening the US semiconductor sector. He emphasized that this broad political backing ensures the Act's stability as a cornerstone of national industrial policy.
In response to widespread speculation, Gelsinger criticized foreign media for spreading rumors that companies such as Qualcomm, AMD, Broadcom, and Marvell might be considering an Intel acquisition, calling such reports disruptive and baseless.
While he did not refute specific reports, Gelsinger expressed strong disapproval of acquisition rumors, describing them as irresponsible and detrimental to company focus. He clarified that certain claims about talks with potential buyers were inaccurate.
Reiterating his stance, Gelsinger reaffirmed his commitment to the "better together strategy," with no plans to split the company. He underscored Intel's unique global influence and its responsibility to deliver excellence.
Regarding federal support, Gelsinger emphasized that timely subsidies are crucial for Intel's mission. He pointed out that despite Intel's US$30 billion investment in wafer fab expansion, federal funding has yet to materialize, which he described as an inadequate approach.
The Oregonian and Business Insider, referencing two Intel employees, reported that Gelsinger criticized the Biden administration's handling of federal subsidy issues as excessively slow and bureaucratic.
Gelsinger underscored Intel's large-scale expansion investments, firmly stating that it's now the administration's turn to follow through on its promises.
Since Gelsinger took over as CEO in 2021, Intel's revenue has fallen by nearly one-third from its peak of US$79 billion. The company announced plans to cut 15,000 jobs globally to achieve a US$10 billion cost-saving goal in the fourth quarter of 2023.
Article translated by Levi Li
