Intel Faces Uncertainty Amid Qualcomm Takeover Bid and Major Restructuring

Intel announces layoffs, foundry spin-off, and new Amazon deal as it navigates declining market share and potential acquisition by Qualcomm.

Intel has announced the separation of its manufacturing division into an independent subsidiary, aiming to attract new customers and raise outside capital.
Qualcomm has approached Intel about a potential takeover, which could face significant antitrust scrutiny in the current political climate.
The company plans to lay off 15,000 employees, or more than 15% of its workforce, as it continues to struggle with declining revenue and market share.
Intel has secured a new deal with Amazon to produce AI fabric chips, marking an effort to capture a share of the booming AI market.
Despite government backing and substantial CHIPS Act funding, Intel faces challenges in competing with industry giants like Nvidia and TSMC.