this post was submitted on 01 Aug 2024
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So they got all that money from Uncle Sam's CHIPS Act only to lay off 10,000 employees and make themselves "lean". Govt funded unemployment.

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[–] [email protected] 61 points 3 months ago (5 children)

I'm rather OOTL with intel. Mind giving me a short summary? What'd they do this time?

[–] [email protected] 163 points 3 months ago (3 children)

Not sure a short summary will cut it.

They had no competition for a long period and ended up with an accountant CEO that caused their R&D to stagnate massively. They had a ton of struggling and failing to deliver all in most areas, and they wombled about releasing CPU generations with ~4% performance uplifts, probably saving a few bucks in the process.

AMD turned back up again with Ryzen and Epyc models that were pretty good and and an impressive pace of improvement ( like ~14% generational uplifts ) that caused them such a fright that they figured out they had to ditch the accountant.

Pat Gelsinger was asked to step up as CEO and fix that mess. They axed some obvious defective folks in their structure and rushed about to release 12th generation products with decent gains by cranking the power levels of the CPUs to absurd levels, this was risky and it kind of looks like they are being bit with it now.

Server CPU sales are way down because they are just plain uncompetitive. They have missed out on the chunk of money they could have got from the AI bubble because they never had a good GPU architecture they could leverage over to use. They have been shutting down unprofitable and troublesome divisions like the Optane storage and NUC divisions to try and save money, but they are in a bad way.

The class actions mentioned elsewhere in the thread are probably coming because the rush to make incremental improvements to 13th generation and 14th generation CPU's resulted in issues with power levels and other problems that seem to be causing those CPU's to crash and sometimes fail altogether.

[–] peopleproblems 79 points 3 months ago (3 children)

What is it with accountants being chosen as CEO? Like if you were a competent accountant, you should be CFO, and the CEO is someone who knows what the fuck the company sells and how it profits, which I can guarantee you has never been a competent accountant.

[–] halcyoncmdr 83 points 3 months ago* (last edited 3 months ago) (1 children)

It's because the big investors only give a fuck about number go up. Accountants show number go up. All current large investors also seem to have a complete inability to look more than 1-2 quarters in advance, at most. So if number go down, instead must force change to make number go up, but again only 1-2 quarters to make it happen. If number stay down, abandon and go elsewhere.

Institutional investors, the ones with billions in assets controlled, and the real power in this world, don't give a shit if the company is actually successful, or about sustainability, or anything other than continuous profits at any expense. And that's how they perceive the accountants.

[–] AbidanYre 28 points 3 months ago (1 children)
[–] Exusia 33 points 3 months ago

Number not go up?

Abandon ship to the next company where accountant promises number go up.

[–] TheGoldenGod 56 points 3 months ago

It’s a little like the sociopath hospital boards, having more billing staff than doctors and nurses. Making a massive mistake for quick profit and leaving it for the next guy to cleanup lawsuits. A little like robocall centers, okay with fleecing the poor as long as they only have to pay roughly 20% in damages, close shop and create a new call center all over again and rinse and repeat.

[–] [email protected] 9 points 3 months ago (1 children)

I always like this answer by Steve Jobs on the topic (here it's xerox, but this also fits Intel pretty well).

[–] [email protected] 9 points 3 months ago

This video is perfectly applicable, the rot that sets in in a large company when you have no competition to counteract it is exactly what has happened here.

[–] pycorax 29 points 3 months ago (2 children)

Don't forget the potential oxidation issues.

[–] [email protected] 20 points 3 months ago

There's probably a huge story behind why Intel replaced their fab chief just days after it was revealed that he okayed sending out oxidized chips.

[–] [email protected] 8 points 3 months ago (1 children)

Yeah /u/[email protected] kind of understated the problem. They were seeing insane failure rates in data centers like 50%. At this point, any 13th or 14th gen CPU that has experienced any crash or instability should be considered faulty unless you know the cause of the crash is from something else. This isn't just me saying this, mainstream outlets like Gamers Nexus are saying it.

If you're a consumer and have one of those CPUs a replacement is probably in your future. And I wonder if Intel even has stock to replace that many at once....

I can't think of anything like this ever happening on this scale before in computing history.

[–] [email protected] 5 points 3 months ago

A case study for the generations

[–] [email protected] 80 points 3 months ago (1 children)

A bug or whatever in their 13'th and 14'th gen CPU's makes them slowly but permanently degrade and cause crashes. Intel have not been handling the issue as you would hope since the discovery. Denying, downplaying, refusing a recall, refusing extended warranties, the lot. Now the lawsuits are cooking.

[–] [email protected] 13 points 3 months ago

Ooo spicy... I'll have to keep an eye on that.

Thanks!

[–] Shaggy1050 17 points 3 months ago* (last edited 3 months ago)

IIRC they sold and shipped 2 generations of CPUs that were essentially defective and unrepairable.

[–] [email protected] 9 points 3 months ago (1 children)

They sold fairy high end processors. They took like 3 months to fix the issue. Processors that were damaged will remain damaged. I think Intel will replace them though.

[–] [email protected] 45 points 3 months ago* (last edited 3 months ago) (1 children)

This saga has moved fast so I don’t blame you, just an FYI Intel has issued a statement saying the microcode update “will” fix all affected CPUs (it won’t, because the damage is physical) and will not be issuing a recall.

We are witnessing one of the more obvious end-game states of capitalism. Intel continues to state they don’t give a single shit about this issue, and will not do anything about it.

The corporate nihilism will continue until the collapse. More and more companies will act like this because why does anything matter when we can profit more today?

[–] [email protected] 4 points 3 months ago (2 children)

What’s the alternative to Intel for a home PC? After getting caught up on this, I won’t be ever buying one again.

[–] [email protected] 23 points 3 months ago (2 children)

AMD. Maybe Qualcomm in the near future. AMD Ryzen chips are pretty damn good.

[–] [email protected] 3 points 3 months ago (1 children)

Oh man I would love a Snapdragon 8 Gen3 USFF or STB.

[–] [email protected] 1 points 3 months ago (1 children)

I want an arm laptop for work. I almost always use web apps or SSH or RDP. I don't need or want a lot of power in my laptop, but fanless and big battery life sounds great.

[–] [email protected] 2 points 3 months ago* (last edited 3 months ago) (1 children)

You essentially just described a Chromebook...

I get it. I want a Chromebook too. Just not one that has anything to do with Google.

Gimme a "Chromebook" that runs an atomic Linux distro out of the box.

[–] [email protected] 1 points 3 months ago

Non-standard keyboard layouts. Custom kernels. Nah, I tried to rock a Chromebook but it sucks. What I really want is for arm or riscV to grow the fuck up and make an open pc platform. x86 wasn't meant to be open from the beginning, but market forces and other reasons forced it open. We need the same thing for other architectures.

[–] [email protected] 2 points 3 months ago

Good to know. Probably have another four years on my PC before it heads out to pasture.

[–] WhyFlip 16 points 3 months ago