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US Intel

(stratechery.com)
539 points maguay | 4 comments | | HN request time: 0.637s | source
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themgt ◴[] No.45026515[source]
I’ll be honest: there is a very good chance this won’t work .... At the same time, the China concerns are real, Intel Foundry needs a guarantee of existence to even court customers, and there really is no coming back from an exit. There won’t be a startup to fill Intel’s place. The U.S. will be completely dependent on foreign companies for the most important products on earth, and while everything may seem fine for the next five, ten, or even fifteen years, the seeds of that failure will eventually sprout, just like those 2007 seeds sprouted for Intel over the last couple of years. The only difference is that the repercussions of this failure will be catastrophic not for the U.S.’s leading semiconductor company, but for the U.S. itself.

Very well argued. It's such a stunning dereliction the US let things get to this point. We were doing the "pivot to Asia" over a decade ago but no one thought to find TSMC on a map and ask whether Intel was driving itself into the dirt? "For want of a nail the kingdom was lost" but in this case the nail is like your entire metallurgical industry outsourced to the territory you plan on fighting over.

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georgeburdell ◴[] No.45026847[source]
If I may add my view as a formerly high-achieving semiconductor worker that Intel would benefit greatly from having right now, a lot of us pivoted to software and machine learning to earn more money. My first 2 years as a software engineer earned me more RSUs than a decade in semiconductors. Semiconductors is not prestigious work in the U.S., despite the strategic importance. By contrast, it is highly respected and relatively well remunerated in the countries doing well in it.

From this lens, the silver lining of the software layoffs going on may be to stem the bleeding of semiconductor workers to the field. If Intel were really smart, they’d be hiring more right now the people they couldn’t get or retain 3-5 years ago

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troad ◴[] No.45027324[source]
We have developed an economy oriented around selling one another websites, and we are only belatedly noticing that none of our enemies seem to have followed.
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1. otterley ◴[] No.45028398[source]
Let’s not forget here that Chinese companies operate some of—if not the—most popular social networks in the world. WeChat and TikTok/Douyin are enormous.

(Also, in neither country is the majority of its GDP comprised of websites.)

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2. nateglims ◴[] No.45029891[source]
Yes but the Chinese state is much more willing to direct capital to where it thinks it should go. The argument w.r.t. geopolitics is usually that the US is late to doing this and now lacks production capacity which is useful for competing.
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3. otterley ◴[] No.45029973[source]
I think this is an "and," not a "but." Your statement and mine aren't in conflict.
4. cylemons ◴[] No.45036295[source]
They may be the most popular but more importantly how profitable are they