Search

Intel CEO Pat Gelsinger's Removal Raises Doubts Over Turnaround Plan

Intel's revenue shrank to $54 billion (roughly Rs. 8,46,800 crore) in 2023, down nearly one-third from the year Gelsinger took over.

Advertisement
Highlights
  • Intel's ouster of Pat Gelsinger was cheered by investors
  • The company has struggled to compete with TSMC
  • Intel also missed out on an investment in OpenAI under Gelsinger
Intel CEO Pat Gelsinger's Removal Raises Doubts Over Turnaround Plan

Pat Gelsinger at Computex 2024 in Taiwan earlier this ear

Photo Credit: Reuters

Intel CEO Pat Gelsinger's removal has put an abrupt end to his role in the struggling chipmaker's turnaround efforts, leaving Wall Street with doubts whether his ambitious revival plan is headed for the chopping block.

A change at the top after a tumultuous year was cheered by investors as Intel shares rose as much as 6% following the news, before it closed down 0.5% on Monday.

The shares have slumped more than 50% this year as it loses out on an AI-fueled rally in chipmaking peers. Nvidia has become the second most-valuable company in 2024, while Intel's market capitalization dropped below $100 billion (roughly Rs. 8,46,800 crore) for the first time in 30 years.

Intel struggled under Gelsinger as his plan to increase focus on its money-losing contract manufacturing business hurt cash flow.

Despite the spending spree, it failed to keep up with peers in an AI race and trailed Taiwan's TSMC in chip manufacturing.

The company had also missed out on an investment in AI juggernaut OpenAI, while Gelsinger's comments on Taiwan cost Intel its discounted chipmaking deal with TSMC.

Intel's revenue shrank to $54 billion (roughly Rs. 4,57,240) in 2023, down nearly one-third from the year Gelsinger took over.

Wall Street's earnings expectations for the company too have fallen sharply, giving the stock an elevated forward price-to-earnings ratio - a benchmark for valuing stocks.

© Thomson Reuters 2024
 

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Further reading: Intel, Pat Gelsinger
 
Show Full Article
Please wait...
Advertisement

Related Stories

Popular Mobile Brands
  1. Poco F7 Ultra, Poco F7 Pro Launched With Snapdragon Chipsets
  2. Why Google Is Reportedly Preparing to Develop Its Android OS in Private
  3. Apple iPhone 16e Review: When You Just Need an iPhone
  4. Infinix Note 50X 5G With Dimensity 7300 Ultimate SoC Launched in India
  5. Motorola Edge 60 Pro May Reportedly Come With a Mystery New Button
  6. Airtel Launches IPTV Services With Bundled OTT Apps in India
  7. FM Says Access to WhatsApp Led to Seizure of Crypto Worth Rs. 90 Crore
  8. Nothing's Essential Space Feature Might Soon Require a Subcription
  9. Google Workspace Users Are Getting These New AI Features
  10. Samsung Galaxy S25 Edge Leaked Renders Suggest Three Titanium Colourways
  1. Study Finds grey Seals Can Track Blood Oxygen to Prevent Drowning
  2. Robinhood OTT Release Date: When and Where to Watch Nithiin’s Heist Comedy
  3. Ring Ring Ring Now Streaming: Where to Watch Praveen Raj’s Tamil Comedy-Drama Online
  4. Den of Thieves 2: Pantera OTT Release Date: When and Where to Watch it Online?
  5. Japan’s Universal Memory Breakthrough Reduces Energy, Boosts Speed
  6. China’s ‘Kill Mesh’ Threatens US Satellites, Space Force Warns
  7. New Study Challenges Claims of Vast Underground Water on Mars
  8. Asgard Archaea May Hold the Key to the Origins of Eukaryotic Life, New Study Suggests
  9. SpaceX Sets Falcon 9 Reuse Record with NROL-57 Launch from Vandenberg
  10. Tomb Raider Developer Crystal Dynamics Announces Layoffs
Gadgets 360 is available in
Download Our Apps
App Store App Store
Available in Hindi
App Store
© Copyright Red Pixels Ventures Limited 2025. All rights reserved.
Trending Products »
Latest Tech News »