Intel Corp. is facing significant challenges, with shares falling more than 10% after a lower sales forecast. The company's growth businesses are not growing, and their outlook is 15% below expectations. Despite major acquisitions, Intel is struggling with cash flow and is fighting a multi-front war against competitors like AMD, Nvidia, and TSMC. The podcast also mentioned various industry professionals and their roles in the current tech landscape.
Key takeaways:
- John Furrier and Dave Vellante, industry analysts at theCUBE Research, discussed recent tech news, including the uncertain future of AI and Intel's struggles.
- Almost half of companies are reportedly reallocating budgets from other areas to fund AI, indicating that unless AI starts to show real ROI, the situation will remain tied to the economy and the Federal Reserve.
- Intel Corp. shares fell more than 10% after the company provided a lower sales forecast. The company is facing multiple challenges, including competition from AMD, Nvidia, and TSMC.
- Despite the uncertain times, there is cautious optimism in the tech industry, with expectations of budget growth or spending growth in 2023 and 2024.