TSMC (Taiwan Semiconductor Manufacturing Company) founder Morris Chang recently shared his thoughts on Intel’s challenges, following the sudden resignation of former CEO Pat Gelsinger. At the presentation of his autobiography, Chang discussed what he believed to be Intel’s missteps and offered advice on how the company could navigate its current struggles in the semiconductor industry.
Intel’s Struggles and Pat Gelsinger’s Departure
Pat Gelsinger, who took over as Intel’s CEO with the goal of restoring the company’s leadership in producing advanced microchips, recently stepped down amid rising concerns about Intel’s market position. Gelsinger’s strategy aimed to reclaim Intel’s dominance in manufacturing fast, small chips, a sector in which TSMC has now overtaken the company. Despite Gelsinger’s efforts, Intel has found itself losing ground to its competitors.
Chang highlighted that Intel’s failure to adapt quickly to new technology trends, particularly artificial intelligence (AI), contributed significantly to the company’s decline. He pointed out that while Gelsinger focused on rebuilding Intel as a manufacturing giant, the lack of a strong focus on AI may have hindered the company’s growth in the fast-evolving tech market.
TSMC Founder’s Advice: Focus on AI
Morris Chang emphasized that, in hindsight, Intel should have prioritized AI technologies, which are now central to the future of computing and chip manufacturing. According to Chang, Intel’s obsession with rebuilding its traditional chip business caused it to miss key opportunities in AI, a space where TSMC and other companies are making significant advancements.
“I don’t know why Pat resigned. I don’t know if his strategy was bad or if he executed it poorly,” said Chang. “Instead of focusing on AI, he seemed more focused on building the company. Of course, it now seems like Gelsinger should have focused on AI,” he added.
Intel’s Current Position: Challenges Ahead
With no clear new strategy and the absence of a permanent CEO, Intel’s position in the semiconductor industry remains uncertain. Chang recognized the difficulty Intel faces in both finding a new leader and determining its future direction. He stressed that it is not an easy task to make both decisions simultaneously, particularly in an industry as competitive and fast-moving as semiconductors.
“It’s very difficult to find both,” Chang stated, referring to Intel’s search for a new CEO and a renewed vision for the company. The next steps for Intel will be crucial in determining whether it can recover and once again assert itself as a leader in the semiconductor market.
The Road Ahead for Intel
Intel now faces a pivotal moment in its history. With its leadership in transition and a market increasingly driven by AI, the company must quickly adapt to the changing technological landscape. If Intel can shift its focus toward AI and secure strong leadership, it may be able to regain its competitive edge. However, the road ahead will be challenging, and the company’s next steps will be critical in shaping its future in the semiconductor and AI industries.
