Intel CEO Considers Strategic Shift in Chip Manufacturing Approach

Source: Rewritten from Reuters Report

Intel's newly appointed CEO, Lip-Bu Tan, is evaluating a significant shift in the company's semiconductor manufacturing strategy, aiming to revitalize the business and attract high-profile clients. Sources close to the matter revealed that Tan may halt the promotion of Intel's 18A chipmaking technology to external customers — a notable departure from the strategy led by former CEO Pat Gelsinger.

Since stepping into the leadership role in March 2025, Tan has moved swiftly to streamline operations and reduce costs. By June, internal discussions reportedly began about the declining demand for Intel’s 18A process, which was once considered a cornerstone of the company’s future manufacturing plans.

Intel’s board is expected to review possible changes in its upcoming meeting this month. One of the proposals includes pulling back on external marketing of the 18A node, which has struggled to attract new clients despite heavy investment.

This potential pivot could reshape Intel's \foundry\ business — the division responsible for manufacturing chips for other companies — and marks a critical step in Tan’s efforts to restore Intel’s competitive edge in the global semiconductor industry.