China

Who's Winning America's 'Tech War' With China? (wired.com) 78

In mid-2021 Ameria's National Security Advisor set up a new directorate focused on "advanced chips, quantum computing, and other cutting-edge tech," reports Wired. And the next year as Congress was working on boosting America's semiconductor sector, he was "closing in on a plan to cripple China's... In October 2022, the Commerce Department forged ahead with its new export controls."

So what happened next? In a phone call with President Biden this past spring, Xi Jinping warned that if the US continued trying to stall China's technological development, he would not "sit back and watch." And he hasn't. Already, China has answered the US export controls — and its corresponding deals with other countries — by imposing its own restrictions on critical minerals used to make semiconductors and by hoovering up older chips and manufacturing equipment it is still allowed to buy. For the past several quarters, in fact, China was the top customer for ASML and a number of Japanese chip companies. A robust black market for banned chips has also emerged in China. According to a recent New York Times investigation, some of the Chinese companies that have been barred from accessing American chips through US export controls have set up new corporations to evade those bans. (These companies have claimed no connection to the ones who've been banned.) This has reportedly enabled Chinese entities with ties to the military to obtain small amounts of Nvidia's high-powered chips.

Nvidia, meanwhile, has responded to the US actions by developing new China-specific chips that don't run afoul of the US controls but don't exactly thrill the Biden administration either. For the White House and Commerce Department, keeping pace with all of these workarounds has been a constant game of cat and mouse. In 2023, the US introduced the first round of updates to its export controls. This September, it released another — an announcement that was quickly followed by a similar expansion of controls by the Dutch. Some observers have speculated that the Biden administration's actions have only made China more determined to invest in its advanced tech sector.

And there's clearly some truth to that. But it's also true that China has been trying to become self-sufficient since long before Biden entered office. Since 2014, it has plowed nearly $100 billion into its domestic chip sector. "That was the world we walked into," [NSA Advisor Jake] Sullivan said. "Not the world we created through our export controls." The United States' actions, he argues, have only made accomplishing that mission that much tougher and costlier for Beijing. Intel CEO Pat Gelsinger estimated earlier this year that there's a "10-year gap" between the most powerful chips being made by Chinese chipmakers like SMIC and the ones Intel and Nvidia are working on, thanks in part to the export controls.

If the measure of Sullivan's success is how effectively the United States has constrained China's advancement, it's hard to argue with the evidence. "It's probably one of the biggest achievements of the entire Biden administration," said Martijn Rasser, managing director of Datenna, a leading intelligence firm focused on China. Rasser said the impact of the US export controls alone "will endure for decades." But if you're judging Sullivan's success by his more idealistic promises regarding the future of technology — the idea that the US can usher in an era of progress dominated by democratic values — well, that's a far tougher test. In many ways, the world, and the way advanced technologies are poised to shape it, feels more unsettled than ever.

Four years was always going to be too short for Sullivan to deliver on that promise. The question is whether whoever's sitting in Sullivan's seat next will pick up where he left off.

The Military

The Radio-Obsessed Civilian Shaping Ukraine's Drone Defense (technologyreview.com) 42

Former Ukranian officer Serhii "Flash" Beskrestnov created a Signal channel where military communications specialists could talk with civilian radio experts, reports MIT's Technology Review. But radio communications are crucial for drones, so... About once a month, he drives hundreds of kilometers east in a homemade mobile intelligence center: a black VW van in which stacks of radio hardware connect to an array of antennas on the roof that stand like porcupine quills when in use. Two small devices on the dash monitor for nearby drones. Over several days at a time, Flash studies the skies for Russian radio transmissions and tries to learn about the problems facing troops in the fields and in the trenches.

He is, at least in an unofficial capacity, a spy. But unlike other spies, Flash does not keep his work secret. In fact, he shares the results of these missions with more than 127,000 followers — including many soldiers and government officials — on several public social media channels. Earlier this year, for instance, he described how he had recorded five different Russian reconnaissance drones in a single night — one of which was flying directly above his van... Drones have come to define the brutal conflict that has now dragged on for more than two and a half years. And most rely on radio communications — a technology that Flash has obsessed over since childhood. So while Flash is now a civilian, the former officer has still taken it upon himself to inform his country's defense in all matters related to radio...

Flash has also become a source of some controversy among the upper echelons of Ukraine's military, he tells me. The Armed Forces of Ukraine declined multiple requests for comment, but Flash and his colleagues claim that some high-ranking officials perceive him as a security threat, worrying that he shares too much information and doesn't do enough to secure sensitive intel... [But] His work has become greatly important to those fighting on the ground, and he recently received formal recognition from the military for his contributions to the fight, with two medals of commendation — one from the commander of Ukraine's ground forces, the other from the Ministry of Defense...

And given the mounting evidence that both militaries and militant groups in other parts of the world are now adopting drone tactics developed in Ukraine, it's not only his country's fate that Flash may help to determine — but also the ways that armies wage war for years to come.

He's also written guides on building cheap anti-drone equipment...
AMD

AMD Launches AI Chip To Rival Nvidia's Blackwell (cnbc.com) 30

AMD is launching a new chip to rival Nvidia's upcoming Blackwell chips, which Nvidia called the "world's most powerful chip" for AI when unveiled earlier this year. CNBC reports: The Instinct MI325X, as the chip is called, will start production before the end of 2024, AMD said Thursday during an event announcing the new product. If AMD's AI chips are seen by developers and cloud giants as a close substitute for Nvidia's products, it could put pricing pressure on Nvidia, which has enjoyed roughly 75% gross margins while its GPUs have been in high demand over the past year. In the past few years, Nvidia has dominated the majority of the data center GPU market, but AMD is historically in second place. Now, AMD is aiming to take share from its Silicon Valley rival or at least to capture a big chunk of the market, which it says will be worth $500 billion by 2028.

AMD didn't reveal new major cloud or internet customers for its Instinct GPUs at the event, but the company has previously disclosed that both Meta and Microsoft buy its AI GPUs and that OpenAI uses them for some applications. The company also did not disclose pricing for the Instinct MI325X, which is typically sold as part of a complete server. With the launch of the MI325X, AMD is accelerating its product schedule to release new chips on an annual schedule to better compete with Nvidia and take advantage of the boom in AI chips. The new AI chip is the successor to the MI300X, which started shipping late last year. AMD's 2025 chip will be called MI350, and its 2026 chip will be called MI400, the company said.

Windows

Windows 11's Big 2024 Update Leaves Behind 9GB of Undeletable Files (pcworld.com) 81

smooth wombat writes: The Windows 11 24H2 update has had a host of issues associated with it including disappearing mouse cursors and blue screens related to Intel drivers. Now comes word that the new update leaves behind over 8 GB of undeletable cache files.

According to Windows Latest, attempts to delete the cache via the Control Panel are unsuccessful. Although you can select the cache for deletion and initiate the deletion process, the cache remains. Various other methods to remove the Windows update cache failed, too. It only cleared after a clean Windows installation altogether.

Intel

Intel Unveils Arrow Lake Desktop Processors, Promising Power Efficiency Gains (pcworld.com) 46

Intel has announced its new Arrow Lake desktop processors, marking a significant shift in the company's approach to chip design and power efficiency. The Core Ultra 200S series, set to launch on October 24, 2024, introduces a disaggregated architecture manufactured using TSMC's advanced nodes.

The flagship Core Ultra 9 285K boasts 24 cores (8 performance, 16 efficiency) and can boost up to 5.7 GHz, priced at $589. Intel claims the new chips offer comparable performance to their predecessors while consuming significantly less power, with reductions of up to 136 watts in some gaming scenarios.

Arrow Lake utilizes a tiled design, combining compute, GPU, SoC, and I/O components manufactured by TSMC and packaged using Intel's Foveros technology. The compute tile is built on TSMC's N3B process, while the GPU tile uses TSMC's N5P, and the I/O and SoC tiles are on TSMC's N6. Intel's Roger Chandler stated, "Arrow Lake picks up the mantle of Raptor Lake's top-end gaming performance and delivers parity performance at about half the power."

Intel acknowledges that gaming performance may lag slightly behind the previous generation, with a 5% deficit in some benchmarks compared to the Core i9-14900K. The company is positioning Arrow Lake as a balanced solution, emphasizing power efficiency and content creation capabilities. The new processors require a new LGA 1851 socket and Z890 chipset, necessitating motherboard upgrades. Memory support extends to DDR5-6400, with XMP profiles potentially reaching DDR5-8000.
Operating Systems

Hobbyist Builds a Modern System That Still Runs MS-DOS (yeokhengmeng.com) 54

He's the long-time Slashdot reader who installed Linux on a 1993 PC — and then installed a 1994 version of MS-DOS on a modern Thinkpad X13. (And somewhere along the way, he even built a ChatGPT client for DOS...)

But in a new blog post, yeokm1 reveals "I recently built myself a PC," salvaging parts from a previous desktop system to bootstrap an upgrade. And "I decided to build one with the ability to still reach back into the past to run MS-DOS..."

The result? A Ryzen 5 7600 and GeForce 4060 Ti system, but with a floppy drive, optical drive, Sound Blaster card, serial, parallel and PS/2 ports — that runs MS-DOS. The fact that a 30-year-old MS-DOS 6.22 can still work well enough on such a modern hardware is testament to the efforts made by the industry to ensure good x86 PC backward compatibility. AMD, Nvidia and Asus deserve to be commended on their efforts here.

I'm also impressed that the modern Nvidia Geforce 4060 Ti still supports some legacy video BIOS modes to a usable level although this is not complete. I didn't document in this blog post but brief tests with other VESA modes and resolutions didn't work so well. I wonder how long more this amount of x86 PC backward-compatibility will continue to last though... It definitely feels like the end is near.

Their blog post includes a video about their system. (And yes, it plays Doom.) But their ultimate goal is to use it to play modern games like Cyberpunk 2077 and Flight Simulator 2020 (as well as the upcoming Flight Simulator 2024) "at reasonably good settings and performance." (And also to experiment with light machine-learning workloads, do basic video editing, run virtual machines.)

After successfully building their DOS-running system, they asked ChatGPT what it thought. Would the system's specs be powerful enough to handle the 30-year-old operation system? And ChatGPT confidently replied:

"Neither the Ryzen 5 7600 nor the GeForce RTX 4060 Ti is designed to run DOS natively. DOS is an older operating system that was primarily used on x86 architecture from the late 20th century, and modern hardware like the Ryzen 5 7600 and GeForce RTX 4060 Ti are not compatible with DOS due to their 64-bit architecture and lack of necessary drivers to interface correctly with DOS, which relied on much older technology..."

yeokm1's blog post concludes: "I think I just proved ChatGPT wrong :P"
Businesses

AI Chipmaker Cerebras Files For IPO To Take On Nvidia (cnbc.com) 24

Cerebras Systems, an AI chip startup, filed (PDF) for an IPO and plans to trade under the ticker "CBRS" on Nasdaq. CNBC reports: Cerebras competes with Nvidia, whose graphics processing units are the industry's choice for training and running AI models. Cerebras says on its website that its WSE-3 chip comes with more cores and memory than Nvidia's popular H100. It's also a physically larger chip. In addition to selling chips, Cerebras offers cloud-based services that rely on its own computing clusters. [...] In addition to Nvidia, Cerebras cites AMD, Intel, Microsoft and Google as competitors, "as well as internally developed custom application-specific integrated circuits and a variety of private companies." Taiwan Semiconductor Manufacturing Company makes the Cerebras chips. Cerebrus warned investors that any possible supply chain disruptions may hurt the company.

Cerebras was founded in 2016 and is based in Sunnyvale, California. Andrew Feldman, the startup's co-founder and CEO, sold server startup SeaMicro to AMD for $355 million in 2012. The company said in 2021 that it was valued at over $4 billion in a $250 million funding round.In May, G42 committed to purchasing $1.43 billion in orders from Cerebras before March 2025, according to the filing. G42 currently owns under 5% of Cerebras' Class A shares, and the firm has an option to purchase more depending on how much Cerebras product it buys.

Intel

How I Booted Linux On an Intel 4004 from 1971 (dmitry.gr) 53

Long-time Slashdot reader dmitrygr writes: Debian Linux booted on a 4-bit intel microprocessor from 1971 — the first microprocessor in the world — the 4004. It is not fast, but it is a real Linux kernel with a Debian rootfs on a real board whose only CPU is a real intel 4004 from the 1970s.
There's a detailed blog post about the experiment. (Its title? "Slowly booting full Linux on the intel 4004 for fun, art, and absolutely no profit.")

In the post dmitrygr describes testing speed optimizations with an emulator where "my initial goal was to get the boot time under a week..."
Intel

Intel Releases Critical Microcode Fix for 13th and 14th Gen CPU Voltage Issues 18

Intel has released microcode update 0x12B for its 13th and 14th generation Core processors, addressing persistent stability issues stemming from voltage irregularities. The update targets a specific clock tree circuit within the CPU's IA core that was causing elevated voltage requests during idle and light workloads.

The company identified four key factors contributing to voltage instability: motherboards exceeding Intel's power specifications, an Enhanced Thermal Velocity Boost algorithm allowing sustained high performance at elevated temperatures, frequent high voltage requests from the processor, and problematic microcode demanding elevated core voltages during low-activity periods. While previous update 0x129 addressed some concerns, the new 0x12B update aims to resolve the root cause of the "Vmin shift" problem, where voltage spikes lead to increased power requirements and potential degradation over time. Intel is working with motherboard manufacturers to roll out BIOS updates incorporating the new microcode.
Intel

Qualcomm Approached Intel About a Takeover (msn.com) 35

Friday the Wall Street Journal reported Qualcomm recently "made a takeover approach" to Intel, which has a market value of roughly $90 billion ("according to people familiar with the matter...") A deal is far from certain, the people cautioned. Even if Intel is receptive, a deal of that size is all but certain to attract antitrust scrutiny, though it is also possible it could be seen as an opportunity to strengthen the U.S.'s competitive edge in chips... Both Intel and Qualcomm have become U.S. national champions of sorts as chip-making gets increasingly politicized. Intel is in line to get up to $8.5 billion of potential grants for factories in the U.S. as Chief Executive Pat Gelsinger tries to build up a business making chips on contract for outsiders...
Both Intel and Qualcomm have been "overshadowed" by Nvidia's success in powering the AI boom, the article points out.

But "To get the deal done, Qualcomm could intend to sell assets or parts of Intel to other buyers... A deal would significantly broaden Qualcomm's horizons, complementing its mobile-phone chip business with chips from Intel that are ubiquitous in personal computers and servers..." Qualcomm's approach follows a more than three-year turnaround effort at Intel under Gelsinger that has yet to bear significant fruit. For years, Intel was the biggest semiconductor company in the world by market value, but it now lags behind rivals including Qualcomm, Broadcom, Texas Instruments and AMD. In August, following a dismal quarterly report, Intel said it planned to lay off thousands of employees and pause dividend payments as part of a broad cost-saving drive. Gelsinger last month laid out a roadmap to slash costs by more than $10 billion in 2025, as the company reported a loss of $1.6 billion for the second quarter, compared with a $1.5 billion profit a year earlier...

Intel earlier this year began to report separate financial results of its manufacturing operations, which many on Wall Street saw as a prelude to a possible split of the company. Some analysts have argued Intel should be split into two, mirroring a shift in the industry toward specializing in either chip design or chip manufacturing. Splitting up immediately might not be possible, however, Bernstein Research analyst Stacy Rasgon said in a recent note. Intel's manufacturing arm is money-losing and hasn't gained strong traction with customers other than Intel itself since Gelsinger opened the factories to outside chip designers three years ago. Gelsinger has been doubling down on the company's factory ambitions, outlining spending of hundreds of billions of dollars building new plants in the U.S., Europe and Israel in recent years.

Given Intel's market value, a successful takeover of the entire company would rank as the all-time largest technology M&A deal, topping Microsoft's $69 billion acquisition of Activision Blizzard.

Intel's stock "had its biggest one-day drop in over 50 years in August after the company reported disappointing earnings," reports CNBC. Partly because of that one-day, 26% drop, Intel's shares "are down 53% this year as investors express doubts about the company's costly plans to manufacture and design chips."

But the Register remains skeptical about Qualcomm taking over Intel: Chipzilla may not be worth much to Qualcomm unless it can renegotiate the x86/x86-64 cross-licensing patent agreement between Intel and AMD, which dates back to 2009. That agreement is terminated if a change in control happens at either Intel or AMD.

While a number of the patents expired in 2021, it's our understanding that agreement is still in force and Qualcomm would be subject to change of control rules. In other words, Qualcomm wouldn't be able to produce Intel-designed x86-64 chips unless AMD gave the green light. It's also likely one of the reasons why no one bought AMD when it was dire straits; whoever took over it would have to deal with Intel.

Businesses

Intel Plans To Turn Foundry Business Into Subsidiary, Allow For Outside Funding (cnbc.com) 24

Intel shares surged 8% after announcing plans to make its foundry business an independent unit with its own board and potential for outside capital, part of CEO Pat Gelsinger's strategy to restructure the company amid financial challenges. The company is also exploring the possibility of spinning off the foundry business, pausing some European manufacturing projects, and expanding its AI chip production partnership with Amazon Web Services to regain market share in the growing AI server chip industry. CNBC reports: As part of CEO Pat Gelsinger's effort to turn around the struggling chipmaker, Intel said in a memo to employees that it will also sell off part of its stake in Altera. Gelsinger said the restructuring would allow the foundry business to "evaluate independent sources of funding,â and comes days after Intel's board met to assess the direction and future of the company. The foundry business, which Intel plans to use to manufacture chips for other customers, has been a big drag on its bottom line, with the company spending roughly $25 billion on it in each of the last two years. Beyond just considering outside funding, Intel is weighing whether to spin off the foundry business, possibly into a separate publicly traded company, according to a person with knowledge of the matter who declined to be named in order to discuss confidential information. With a standalone "operating board" and a cleaner corporate structure, the mechanics of a separation become far easier than trying to turn a fully integrated unit into a separate company. [...] Intel will also pause its fabrication efforts in Poland and Germany "by approximately two years based on anticipated market demand," Gelsinger said, and pull back on its plans for its Malaysian factory. U.S. manufacturing projects will remain unaffected, the company said.

In addition to the foundry announcement, Intel said it entered into a deal with Amazon Web Services to produce custom chips for AI, extending a long-running partnership between the two companies. Amazon is a big customer of Intel chips to power its AWS servers, and will buy a custom Xeon processor from Intel as well, Intel said. The move will potentially give Intel a new foothold in the growing industry for AI server chips. While Intel has several products that can be used for AI, including Gaudi 3, Nvidia has largely taken control of the market. Amazon has been developing its own AI chips, including one called Trainium, for over five years. Microsoft and Google have also invested heavily in custom chips to run AI, aiming to offer less expensive processors than Nvidia's general-purpose graphics processing units. Intel said that it would carry out its most advanced manufacturing, including the AI chip for AWS, at its plant in Ohio that's currently under construction. "All eyes will remain on us," Gelsinger said. "We need to fight for every inch and execute better than ever before. Because that's the only way to quiet our critics and deliver the results we know we're capable of achieving."

Linux

Linux Kernel 6.11 is Out 9

Linux creator Linus Torvalds has released version 6.11 of the open-source operating system kernel. The new release, while not considered major by Torvalds, introduces several notable improvements for AMD hardware users and Arch Linux developers. ZDNet: This latest version introduces several enhancements, particularly for AMD hardware users, while offering broader system improvements and new capabilities. These include:
RDNA4 Graphics Support: The kernel now includes baseline support for AMD's upcoming RDNA4 graphics architecture. This early integration bodes well for future AMD GPU releases, ensuring Linux users have day-one support.
Core Performance Boost: The AMD P-State driver now includes handling for AMD Core Performance Boost. This driver gives AMD Core users more granular control over turbo and boost frequency ranges.
Fast Collaborative Processor Performance Control (CPPC) Support: Overclockers who want the most power possible from their computers will be happy with this improvement to the AMD P-State driver. This feature enhances power efficiency on recent Ryzen (Zen 4) mobile processors. This can improve performance by 2-6% without increasing power consumption.
AES-GCM Crypto Performance: AMD and Intel CPUs benefit from significantly faster AES-GCM encryption and decryption processing, up to 160% faster than previous versions.
Intel

How Intel Lost the Sony PlayStation Business (reuters.com) 55

Intel lost a bid to design and manufacture Sony's PlayStation 6 chip in 2022, dealing a blow to its contract manufacturing business. The contract, worth potentially billions in revenue, went to rival AMD after Intel failed to agree on pricing with Sony, Reuters reported Monday.

Discussions between the companies spanned months and involved top executives. Intel's loss has hampered CEO Pat Gelsinger's turnaround strategy, which hinges on expanding the company's foundry operations. The PlayStation deal would have provided steady business for Intel's struggling manufacturing arm, which reported $7 billion in operating losses last quarter. Sony's need for backwards compatibility with older PlayStation models complicated Intel's bid, as AMD designed chips for previous console generations, the report adds.

Further reading:
Intel Foundry Achieves Major Milestones;
Intel Weighs Options Including Foundry Split To Stem Losses:
Intel's Money Woes Throw Biden Team's Chip Strategy Into Turmoil.
Be

Haiku (Originally 'OpenBeOS') Releases Long Awaited R1/Beta5 (haiku-os.org) 32

An anonymous Slashdot reader writes: Haiku (the MIT-licensed operating system, inspired by BeOS) has released its fifth beta for Haiku R1.

Some new features include improved UI color management, improved dark mode coloring, Tracker improvements, TUN/TAP support for VPN connections, TCP throughput improvements, performance optimizations, UFS2 (BSD's filesystem) read-only support, new FAT filesystem driver, improved hardware support, improved POSIX compliance, improved performance, and more.

Slashdot has been covering the fate of the BeOS since 2000 (as well as the short-lived derivative project ZETA — and Haiku).

And now "With a history of over two decades and previously known as OpenBeOS, today's Haiku is pushing forward..." writes the site NotebookCheck: Haiku is a spiritual successor to BeOS, with a focus on a clean and user-friendly design paired with low system requirements. The minimum system requirements are still an Intel Pentium II/AMD Athlon CPU or better, at least 384 MB RAM, an 800x600 screen, and at least 3GB storage. It works on both 32-bit and 64-bit x86 PCs, and the 32-bit version can run many unmodified BeOS applications. It might be the best desktop open-source operating system not based on Linux or Unix... It works well in a virtual machine like VirtualBox or UTM.
Businesses

Qualcomm Has Explored Buying Pieces of Intel Chip Design Business (reuters.com) 8

Qualcomm has explored the possibility of acquiring portions of Intel's design business to boost the company's product portfolio, Reuters reported Thursday, citing sources familiar with the matter. From the report: The mobile chipmaker has examined acquiring different pieces of Intel, which is struggling to generate cash and looking to shed business units and sell off other assets, the people said. Intel's client PC design business is of significant interest to Qualcomm executives, one of the sources said, but they are looking at all of the company's design units. Other pieces of Intel such as the server segment would make less sense for Qualcomm to acquire, another source with knowledge of Qualcomm's operations said.
AI

Microsoft Rolled Out AI PCs That Can't Play Top Games (msn.com) 79

The latest Windows personal computers with AI features have "the best specs" on "all the benchmarks," Microsoft Chief Executive Satya Nadella recently said. There is one problem: The chips inside current models are incompatible with many leading videogames. From a report: Microsoft and its partners this spring rolled out Copilot+ PCs that include functions such as creating AI-generated pictures and video. Under the hood of the new laptops is a hardware change. Instead of the Intel chips that have powered Microsoft Windows PCs for nearly four decades, the initial Copilot+ PCs to hit the market use Qualcomm chips, which in turn rely on designs from U.K.-based Arm.

Most PC games, including popular multiplayer games such as "League of Legends" and "Fortnite," are made to work with Intel's x86, a chip architecture that has been the standard for many personal computers for decades. To make some of these programs function on the Qualcomm-Arm system, they must be run through a layer of software that translates Intel-speak into Arm-speak. Chip experts say the approach isn't perfect and can result in bugs, glitches or games simply not working. The problem is widespread. About 1,300 PC games have been independently tested to see if they work on Microsoft's new Arm-powered PCs and only about half ran smoothly, said James McWhirter, an analyst with research firm Omdia.

United States

Intel's Money Woes Throw Biden Team's Chip Strategy Into Turmoil (bloomberg.com) 109

The Biden-Harris administration's big bet on Intel to lead a US chipmaking renaissance is in grave trouble as a result of the company's mounting financial struggles, creating a potentially damaging setback for the country's most ambitious industrial policy in decades. From a report: Five months after the president traveled to Arizona to unveil a potential $20 billion package of incentives alongside Chief Executive Officer Pat Gelsinger, there are growing questions around when -- or if -- Intel will get its hands on that money. Intel's woes also may jeopardize the government's ability to reach its policy goals, which include establishing a secure supply of cutting-edge chips for the Pentagon and making a fifth of the world's advanced processors by 2030.

Intel is mired in a sales slump worse than anticipated and hemorrhaging cash, forcing its board to consider increasingly drastic actions -- including possibly splitting off its manufacturing division or paring back global factory plans, Bloomberg reported last week. That threatens to further complicate its quest for government funding, at a time when Intel desperately needs the help. The Silicon Valley company is supposed to receive $8.5 billion in grants and $11 billion in loans from the 2022 Chips and Science Act, but only if the chipmaker meets key milestones -- and after significant due diligence. That process, which applies to all Chips Act winners, has been clear from the outset, and aims to ensure that companies only get taxpayer dollars once they've actually delivered on their promises. Intel, like other potential recipients, hasn't received any money yet.

Businesses

Intel's Dow Status Under Threat As Struggling Chipmaker's Shares Plunge (reuters.com) 72

Intel's slumping share price could cost it a spot in the Dow Jones Industrial Average. Reuters reports: Analysts and investors said Intel was likely to be removed from the Dow, pointing to a near 60% decline in the company's shares this year that has made it the worst performer on the index and left it with the lowest stock price on the price-weighted Dow. The chipmaker's shares slid about 7% on Tuesday amid a broader market selloff, with the Philadelphia SE Semiconductor index (.SOX) down nearly 6%, following reports of lower chip sales globally in July.

A removal from the index will hurt Intel's already bruised reputation. The company has missed out on the artificial intelligence boom after passing on an OpenAI investment and losses are mounting at the contract manufacturing unit that the chipmaker has been building out in hopes of challenging TSMC. To fund a turnaround, Intel suspended dividend and announced layoffs affecting 15% of its workforce during its earnings report last month. But some analysts and a former board member believe the moves might be too little, too late for the chipmaker.

Intel

Intel Launches Lunar Lake: Claims Arm-Beating Battery Life, World's Fastest Mobile CPU Cores (tomshardware.com) 56

Intel launched its new Core Ultra 200V-series processors on Tuesday, promising significant improvements in power efficiency, performance, and battery life over competitors and previous generations. The company claims the chips offer "historic x86 power efficiency" and the "world's fastest mobile CPU cores." The processors, available for pre-order in OEM systems and shipping September 24, feature four Lion Cove P-cores and four Skymont E-cores with boost speeds up to 5.1 GHz.

Intel says the chips deliver up to 20.1 hours of battery life, Tom's Hardware reports, outperforming Qualcomm's Snapdragon X Elite by nearly two hours and AMD's chips by almost four hours. Intel asserts a 30% faster gaming performance than competing processors and highlighted compatibility issues with Qualcomm's chips, noting that nearly two dozen games used for benchmarking failed to run on X Elite chips. The company claims up to 64% advantage in single-threaded performance over Qualcomm Snapdragon X Elite and up to 33% over AMD Strix Point HX370.
Intel

Intel CEO To Pitch Board on Plans To Shed Assets, Cut Costs (reuters.com) 22

An anonymous reader shares a report: Intel CEO Pat Gelsinger and key executives are expected to present a plan later this month to the company's board of directors to slice off unnecessary businesses and revamp capital spending, according to a source familiar with the matter, as they try to revive the once-dominant chipmaker's fortunes. The plan will include ideas on how to shave overall costs by selling businesses, including its programmable chip unit Altera, that Intel can no longer afford to fund from the company's once-sizeable profit.

Gelsinger and other high-ranking executives at Intel are expected to present the plan at a mid-September board meeting, the same source said. The proposal does not yet include plans to split Intel and sell off its contract manufacturing operation, or foundry, to a buyer such as Taiwan Semiconductor Manufacturing Co., according to the source and another person familiar with the matter. The presentation, including the plans around its manufacturing operations, are not yet finalized and could change ahead of the meeting.

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