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[QUOTE="Munyaradzi Mafaro, post: 56763, member: 636"]
Intel faces uncertainty regarding whether to separate its foundry division into an independent company. Board members and shareholders support the spin-off proposal while CEO Lip-Bu Tan opposes the move. This internal disagreement creates significant tension within the corporation. AMD provides a relevant historical example from 2008 when economic troubles forced similar decisions. The competitor eventually sold its manufacturing operations to become a fabless company.

AMD struggled with delayed product launches and mounting operating losses during 2008. The company spun off its foundry division to Abu Dhabi's Mubadala Investment Company for $700 million cash and $1.1 billion debt relief. This transaction allowed AMD to partner with TSMC for semiconductor production. The decision helped AMD recover financially and compete more effectively against Intel. GlobalFoundries later achieved a $16 billion valuation.

Intel's foundry division reportedly lost $13 billion during 2024. CEO Tan wants to continue developing the 18A process technology before making any structural changes. Political factors and domestic manufacturing considerations complicate the decision-making process.
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