Morris Chang, the founder of TSMC, recently critiqued Intel's approach. He stated that the company should have placed greater emphasis on AI development instead of attempting to pivot into a contract chip manufacturing role. These remarks were made at the launch of his autobiography on Monday.
Intel's Leadership Changes
This statement follows the resignation of Intel’s CEO, Pat Gelsinger. The board was dissatisfied with the progress of Gelsinger’s bold turnaround strategy, which was failing to deliver results. During Gelsinger's tenure, Intel aimed to regain its status as the leading manufacturer of chips for external clients, a title currently held by TSMC.
Chang's Critique
"Compared to AI, he appeared to concentrate more on becoming a foundry. Obviously, it now looks like Gelsinger should have prioritized AI instead," Chang remarked, taking a shot at Intel's strategic direction. He also pointed out that Intel lacks both a definitive strategy and a CEO, labeling it a challenging scenario.
Chang's comments resonate strongly, particularly in light of Intel’s recent difficulties with AI. The company disclosed that it will not meet its $500 million sales goal for its Gaudi 3 AI accelerators this year, citing software challenges—another indication that the commitment to AI may have been insufficient.
Insights from Chang's Autobiography
Chang's autobiography, which chronicles his journey from 1964 to 2018, also sheds light on Intel's historical choices. For instance, he discusses how Intel declined the opportunity to invest in TSMC during the 1980s, only to later become one of its major customers. The book further explores TSMC's partnerships with firms like Apple and Qualcomm.
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