“Having 80% of all supply in Asia simply isn’t a palatable manner for the world to have its view of the most critical technology,” Mr Gelsinger said. “Every smartphone, every telemedicine, every remote worker, every remote education, every autonomous vehicle, every aspect of humanity is becoming more digital.Emphasis mine
“And when it becomes digital, it runs on semiconductors.
However, Intel has repeatedly missed manufacturing targets over recent years.
This is remarkable insight from the Intel’s new boss. The interview is a missed opportunity on many counts- primarily related to AMD and the new ARM architecture pushed out by Apple. Frankly, the next wave of medical technology is going to come from Cupertino- especially in wearables and “mixed reality” once the technology becomes mainstream. Apple has invested significant stakes in the “privacy” marketing- it’s primarily hogwash because they have massive user data trove. They will gently screw their users slowly and their innovation wheels turn gently without making much noise.
Coming back to Intel. It missed the mobile. Desktops is a laggard. Servers are the current cash cows but the cloud providers have diversified and also by designing their own chips. The Intel’s chief is well aware of that and therefore, is willing to speak about “cooperation” with other chip designers for a fee.
Everybody wants multiple suppliers. So we think there’s very real potential. But I have to earn that business. I have to be able to go to my competitors and be able to say: “I want you to become my customer.”
That also includes Nvidia, Qualcomm and Broadcom, in addition to Microsoft and IBM. I want all of them to say: “I need more technology… and I trust that Intel is going to become one of my key suppliers.”
And that includes Apple as one of the biggest users of advanced semiconductor capabilities.
I wouldn’t comment on the geopolitics or the possibility that Intel gets a lease from the US government that is increasingly looking at diversifying to buy chips and ensuring supply chain integrity, especially for the critical equipment. In that case, Intel might make it’s case for support for public funds and taxpayer’s support in the name of protection of innovation. There’s a distinct possibility.
Things are getting interesting.
What does it mean for healthcare innovation? It is a sum of many many moving parts. The last word is not written yet.