Re:Intel Plunges as It Weighs Exit from Manufacturing Chips
by supernova87a on Sunday July 26, 2020 @07:56PM
(#23961084)
A friend of mine likes to quote the advice of an engineering professor: "The closer your product gets to the physics of a problem, the less money you're going to make."
With relevance to this situation, I guess the interpretation is that you can rarely make a lot of money when the competitive advantage is just that you have 18 months on a certain chip technology before others learn how to do it. Because the pure knowledge of how to do something can't keep you safe forever. It seems to be a constantly shrinking margin against others who are getting more and more sophisticated.
Maybe they saw this and recognized a losing game in part of their territory. Maybe more attention needs to be paid to what differentiating factor has become, even if it changes what Intel is about. I have no idea, but I hope they do!
With relevance to this situation, I guess the interpretation is that you can rarely make a lot of money when the competitive advantage is just that you have 18 months on a certain chip technology before others learn how to do it. Because the pure knowledge of how to do something can't keep you safe forever. It seems to be a constantly shrinking margin against others who are getting more and more sophisticated.
Maybe they saw this and recognized a losing game in part of their territory. Maybe more attention needs to be paid to what differentiating factor has become, even if it changes what Intel is about. I have no idea, but I hope they do!